TT Epaper
The Telegraph
TT Photogallery
 
CIMA Gallary

DLF fined Rs 2.4cr

Facing flak

New Delhi, April 3: The Competition Commission of India (CCI) has slapped a Rs 2.4-crore penalty on realty major DLF for not complying with its directions to cease and desist from unfair trade practices.

The fair trade watchdog has said that continued non-compliance would result in a penalty of Rs 1 lakh every day. The case relates to the Magnolia project of DLF that was brought before the commission in 2010.

On January 31, 2012, the CCI had passed a cease-and-desist order under section 27 of the competition act asking DLF not to impose any unfair conditions in its agreement with the buyers of the flats in the project.

This order was later upheld by the Competition Appellate Tribunal (Compat).

However, in a representation to the CCI, the buyers said DLF had on November 28, 2012 sent demand letters asking for Rs 1.28 crore from each of them “under the garb of super area”, a concept “declared illegal and abusive by the commission.”

“It is made clear that the order passed by the commission needs to be complied with by the parties and the same cannot be permitted to be opted out through negotiations,” the CCI noted in its recent order. “No stay on the cease-and-desist order passed by the commission was operating when the non-compliance occurred. The said demand letter has not been withdrawn till date.”

SBI charges

The CCI has dismissed allegations that public sector lender SBI abused its dominant market position by imposing unreasonable and unfair conditions on car loan borrowers.

 
 
" "