CCI probing car makers for anti-competitive practices: Pilot
New Delhi: The government Thursday said fair trade regulator CCI is probing certain car manufacturers for alleged anti-competitive practises in their businesses.
"Information filed with CCI against certain car manufacturing companies alleging anti-competitive practises is under consideration," Corporate Affairs Minister Sachin Pilot replied in Lok Sabha when asked whether CCI has issued notices to 17 auto majors for cartelisation.
As many as 17 automobile companies are alleged to have abused their dominant position by making spare parts available only through their authorised dealers, who in turn are accused of selling them at high rates.
In October, the Competition Commission of India (CCI) had sent show-cause notices to 17 automobile manufacturers following complaints from consumers that companies were taking undue advantage of their position and selling spare parts only through their network, which resulted in high prices for components.
The Commission, which became fully functional in 2009, has the power to check anti-competitive agreements and abuse of dominant position, drawn from Competition Act, 2002.