CCI imposed Rs 6,700 cr fine on ACC, Binani , 11 other cement companies

, 11:21 AM IST

Mumbai: Rs 6,700 crore of penalty has been imposed on 11 cement companies, including ACC and Binani, for cartelisation by Competition Commission of India (CCI).

Cement Manufacturers Association (CMA), the fair trade regulator has directed all the entities to “cease and desist” from indulging in any activity relating to agreement, understanding or arrangement on prices, production and supply of cement in the market.

Among the companies that received maximum fines, Ambuja Cements Ltd was fined Rs 1,160 crore, ACC Ltd was fined Rs 1,150 crore, Ultratech Cement Rs 1,180 crore and Jaiprakash Associates Ltd Rs 1,320 crore.

The fines on other companies are Rs 274.02 crore (Century), Rs 187.48 crore (India Cements), Rs 128.54 crore (J K Cements), Rs 490.01 crore (Lafarge), Rs 258.63 crore (Ramco), ACL (Rs 1,163.91 crore) and Binani (Rs 167.32 crore), according to the release. CMA faces a fine of Rs 0.73 crore.

Competition watchdog CCI said interactions between the trade body and the cement companies were not confined to promoting the interest of the industry.

“Such interactions have been found to have transgressed the limits in sharing of information and extended to discussions on cost, prices, production and capacities…,” the CCI order said