The Competition Commission of India (CCI) has imposed a fine of Rs 87 crores on Hyundai Motors India Limited, alleging that the south Korean automaker of undertaking uncompetitive practices.
According to the order issued by the Commission, Hyundai Motor India imposed certain arrangements on its dealers, such as monitoring of maximum permissible discount levels as well mandating that dealers use recommended lubricants and oils. These practices contravened provisions in the Competition Act.
The penalty imposed by the CCI has been levied at 0.3 percent of the average turnover of Hyundai Motor India in the preceding three years. The turnover was calculated based only on the revenue generated from the sale of motor vehicles. CCI stated that the order was passed based on the information provided by the dealers.