New Delhi: India`s antitrust watchdog on Wednesday imposed a fine of Rs 870 million (USD 13.6 million) on South Korean automaker Hyundai Motor Co's local unit, accusing the company of anti-competitive behaviour.
The Competition Commission of India in its order alleged that Hyundai Motor India Limited (HMIL) contravened competitive practices by imposing certain arrangements upon its dealers including monitoring the maximum permissible discount level and mandating the use of recommended lubricants and oils.
The penalty has been levied at 0.3 percent of Hyundai Motor India`s average relevant turnover of the preceding three years, the anti-competition watchdog said.
"For the purposes of determining the relevant turnover for the impugned infringement, revenue from sale of motor vehicles alone have been taken into account," the watchdog said, adding the final order was passed on the basis of information provided by the dealers.
Hyundai, in a late night statement, said they were surprised by the order and were looking into the matter.
"We are studying the order in detail and will take necessary course of action to challenge the order at appropriate level to protect the interest of our customers and channel partners by abiding (by) all the laws of land," Hyundai said.