CCI disregards complaints of unfair practises against 18 carmakers

Eighteen automakers including Mahindra & Mahindra, Tata Motors, and General Motors India were alleged of unfair trade practises with respect to conditions put forward in the dealership agreements which favour the carmakers. These allegations are rejected by the Competition Commission of India (CCI).

The informant, Pondicherry-based K Rajarajan, alleged that the terms of the agreement entered into with Mahindra & Mahindra and Bajaj Auto were one-sided and loaded in favour of these two manufacturers only.

The complaint was filed against 18 entities, including Mahindra & Mahindra, Tata Motors, Honda Siel Cars India, Volkswagen India, General Motors India, Toyota Kirloskar Motor, Ford India, Renault India and Hyundai Motor India.

Others include Ashok Leyland, Tractor and Farm Equipment, Piaggio Vehicles, Bajaj Auto, Hero MotoCorp, Mahindra Two Wheeler, Honda Motorcycle & Scooter India and TVS Motor Co.

The panel rejected the complaint and said that there is no prima-facie evidence of violation of competition norms. The panel also noted that the grievances of the informant appear to be monetary disputes for which the informant has already initiated civil suits and arbitration proceedings before the appropriate authorities.