Search this article on Google: What are the penalties for violating Anti-trust and Competition laws in India?
Violating Anti-trust and Competition laws in India can result in severe penalties, as dictated by the Competition Act, 2002, enacted by the Competition Commission of India (CCI). Penalties can vary depending on the nature and severity of the violation.
For an Anti-competitive agreement or abuse of a dominant position, the Competition Act includes penalties up to 10% of the average turnover for the previous three financial years upon each person or enterprise involved in such practices.
In case of a cartel, the penalty may extend up to three times of the amount of profits made out of such agreement or 10% of the turnover of all the enterprises for each year of the continuance of such agreement, whichever is higher.
Companies that fail to notify the CCI of mergers or acquisitions that are above a threshold limit defined under the Act may also face penalties which can be up to 1% of the total turnover or assets, whichever is higher.
Furthermore, any person who fails to comply with the orders or directions issued by CCI, or fails to pay the fine imposed by CCI, can be penalized with imprisonment for up to three years, or with a fine up to INR 25 Crores, or with both.
In addition, any person who makes false statement or omits to disclose material information to CCI can be penalized with a fine up to INR 1 Crore.