Competition Commission of India (CCI) has imposed a penalty of Rs. 87 crore on Hyundai Motor India for unfair business practices with respect to providing discounts for cars.
In it order, the CCI asked the company to cease and desist from such anti-competitive practices.
It said, the company’s anti-competitive conduct include putting in place arrangements that resulted in resale price maintenance by way of monitoring of maximum permissible discount level.
It said, this was done through discount control and penalty mechanisms for non-compliance of the discount scheme.
The CCI said the company contravened competition law through arrangements which resulted into resale price maintenance and by mandating its dealers to use recommended lubricants and oils.