CCI Slaps Fines On 2 Associations, 4 Individuals And Penalises Two Entities For Bid Rigging Activities

New Delhi: The Competition Commission on Friday slapped penalties totalling more than Rs 10.65 lakh on two agro input associations and various individuals for indulging in cartelisation.

The order imposing monetary and non-monetary sanctions has been passed against Agro Input Dealers Association (AIDA), Agro Input Welfare Association (AIWA), Manmohan C Kalantri and Arvindbhai Jerambhai Patel for indulging in anti-competitive conduct of cartelisation, an official release said.

Also, AIDA General Secretary Pravinbhai Patel and AIDA National Spokesperson Sanjay Kumar Raghuwanshi face penalties, the Competition Commission of India (CCI) said in the release. The total penalties amount to more than Rs 10.65 lakh.

While AIDA has to pay a penalty of Rs 81,889, the fine is Rs 3,92,269 on AIWA and Rs 4,98,903 on Kalantri. The fines on Jerambhai Patel and Pravinbhai Patel are Rs 74,717 and Rs 9,177, respectively. CCI has imposed a fine of Rs 8,622 on Raghuwanshi, the release said.

The regulator has also directed the associations to organise a competition compliance training programme in order to spread awareness about competition laws and to promote a culture of competition compliance within their associations.

Meanwhile, CCI also imposed penalties on two entities for bid rigging with respect to a tender floated by the Himachal Pradesh government for procurement of tyres.

Rekha Agencies and SS Marketing have been slapped with penalties of Rs 1,29,901 and Rs 2,13,274, respectively, for indulging in anti-competitive conduct in respect of Himachal Pradesh Tender 2013 for the procurement of tyres, according to an official release.

Besides, the Competition Commission of India (CCI) has directed the two entities to cease and desist from anti-competitive conduct.

"Based on the contemporaneous exchange of emails containing commercially sensitive information regarding price bids before the submission of bids, the Commission found that Rekha Agencies and SS Marketing acted in a concerted manner amounting to bid rigging in Himachal Pradesh Tender 2013, thereby contravening the provisions of Section 3(3)(d) read with Section 3(1) of the Act," the release said.

Section 3 pertains to anti-competitive agreements. The regulator also said a penalty has been imposed on an official of Rekha Agencies and the latest order has come on a reference case of 2019.