Setback for UltraTech in cement cartel case

Benchmarks
Nifty23,635.10-144.06
Precious Metal
Gold (MCX) (Rs/10g.)152,605.00-213.0
Enter search text:
Business News›News›India›Delhi HC allows builders' body BAI to be party in CCI cement cartelisation case, dismisses UltraTech appeal
Read Today's Paper
Delhi HC allows builders' body BAI to be party in CCI cement cartelisation case, dismisses UltraTech appeal
Synopsis
The Delhi High Court dismissed UltraTech Cement's appeal regarding the Builders Association of India's involvement. The court affirmed the association's impleadment to aid the antitrust regulator's assessment. This impleadment helps the Competition Commission of India reach a correct conclusion on allegations. The Builders Association of India had also alleged cartelization by grey cement manufacturers. The Competition Commission of India initiated an investigation after receiving market participant complaints.
ReutersNew Delhi: A division bench of the Delhi High Court on Tuesday dismissed UltraTech Cement's appeal seeking to restrain the Builders Association of India (BAI) from being made a party before the antitrust regulator in a case related to cartelisation and price manipulation by grey cement manufacturers.
While upholding its single judge's order directing impleadment of the BAI before the Competition Commission of India in the case, a division bench of Chief Justice Devendra Kumar Upadhyaya and Justice Tejas Karia said the impleadment does not amount to determination of any right either of UltraTech or that of the BAI. Such impleadment is only to aid the Commission to arrive at a correct conclusion in the allegation regarding anti-competitive practices.
The court said the proceedings drawn by the CCI on receipt of complaints or otherwise are, primarily, to achieve the public interest and, therefore, if in a given case certain investigation/inquiry is conducted by the Commission against certain entities in respect of allegations of their indulgence in anti-competition practices, any party or person or entity or an enterprise having sufficient interest in the matter can be impleaded in the proceedings of the Commission, which, in our opinion, will be only to farther the public interest.
"Such impleadment would be in aid of the Commission to arrive at a correct and just conclusion of the proceedings drawn by its…," the judgment stated.
Also read: Copper hits record high, UltraTech’s Ultravolt on the offensive: A double whammy for cable makers in FY27?
UltraTech had argued that BAI is a hostile body, and by its impleadment it will be made privy to confidential and non-confidential materials in the proceedings before the Commission and, therefore, opportunity ought to have been given to it before impleading the association as a party in the case.
In 2019, the competition regulator had received letters and emails from various market participants, including customer trade associations and dealers, alleging that the conduct of grey cement manufacturers had adverse competitive effects within the country. Even BAI had alleged that cartelisation by grey cement manufacturers was resulting in an abnormal increase in prices of the commodity.
Thereafter, the CCI had passed a suo motu order directing its director general to initiate an investigation into the allegations. In 2023, the Commission impleaded BAI as a party in the case, holding that the association had a substantial interest in the outcome of the proceedings and, therefore, it was necessary to allow it to present its opinion in the matter for a meaningful inquiry. The CCI had also permitted the BAI to inspect the non-confidential records and to file its opinion on the investigation report.
Challenging the antitrust watchdog's order, UltraTech Cement had moved the single judge on the grounds that the CCI had passed an ex-parte order that made the builders' body a party in the case without granting it a hearing.
Add as a Reliable and Trusted News Source
Add Now!
(You can now subscribe to our WhatsApp channel)
(You can now subscribe to our WhatsApp channel)
Read More News on
ultratech cementUltraTech CementCompetition Commission of IndiaBuilders Association of Indiacartelisationprice manipulationgrey cement manufacturerspublic interest


Enter search text:
Continue reading with one of these options:
Limited Access
Free
Login to get access to some exclusive stories
& personalised newsletters
Login Now
Unlimited Access
Starting @ Rs120/month
Get access to exclusive stories, expert opinions &
in-depth stock reports
Subscribe Now
ET
Unlock Access to All Exclusives with ETPrime FREE TRIAL
15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers
Trial offer expiring in00 : 05 : 00
I'd rather pay ₹2599 now


Uh-oh! This is an exclusive story available for selected readers only.
Worry not. You’re just a step away.
Prime Account Detected!
It seems like you're already an ETPrime member with
Login using your ET Prime credentials to enjoy all member benefits
Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.
Unlock ETPrime's Exclusive Stories Today!
Subscribe to gain powerful insights on business, stock market and industry trends.
Big Price Drop! Flat 40% Off
Student Only Offer
Already a Member? Sign In now
Already a Member? Sign In now
Already a Member? Sign In now
Offer Exclusively For You
Save up to Rs. 700/-
ON ET PRIME MEMBERSHIP
Avail Offer
Offer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail Offer
Offer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail Offer
Offer Exclusively For You
Get Flat 40% Off
Then ₹ 1749 for 1 year
Avail Offer
Offer Exclusively For You
ET Prime at ₹ 49 for 1 month
Then ₹ 1749 for 1 year
Avail Offer
Special Offer
Get flat 40% off on ETPrime
Avail Offer
Avail Offer
Claim NowAlready a Member? Sign In now
Need Assistance?
Connect with an ETPrime expert for personalized support and guidance
+91 9484700004
' + h3 + '
' + h4 + '
- ' + listing + '
What’s Included with
ETPrime Membership
1Exclusive Insights That Matter
Uncover the truth with our investigative stories
Make strategic moves using the real-world case studies
Read industry-specific stories to identify emerging trends
Spot opportunities with in-depth insights that matter
Trump temper on H-1B visas is forcing Indians to do these things to stay put in US

What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.

Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?

The problem with lab grown diamonds
Why a falling rupee is a better option for the economy

A list of top 20 momentum stocks that have delivered massive returns in one year
2Invest Wisely With Smart Market Tools & Investment Ideas
Alpha Trade
Get daily trade ideas from SEBI-registered research analysts.
Investment Ideas
Grow your wealth with stock ideas & sectoral trends.
Stock Reports Plus
All-in-one stock research with Stock Score, peer comparison & key signals.
BigBull Portfolio
Get to know where the market bulls are investing to identify the right stocks.
Stock Analyzer
Check the score based on the company's fundamentals, solvency, growth, risk & ownership to decide the right stocks.
Market Mood
Analyze the market sentiments & identify the trend reversal for strategic decisions.
Stock Talk Live at 9 AM Daily
Ask your stock queries & get assured replies by ET appointed, SEBI registered experts.
3Stay informed anytime, anywhere with ET ePaper
ePaper – Print View
Read the PDF version of ET newspaper. Download & access it offline anytime.
ePaper – Digital View
Read your daily newspaper in Digital View & get it delivered to your inbox everyday.
Wealth Edition
Manage your money efficiently with this weekly money management guide.
4Times Of India Subscription (1 Year)
ePaper
Read the PDF version of newspaper. Download & access it offline anytime.
Deep Explainers
Explore the In-depth explanation of complex topics for everyday life decisions.
Health+ Stories
Get fitter with daily health insights committed to your well-being.
Personal Finance+ Stories
Manage your wealth better with in-depth insights & updates on finance.
New York Times Exclusives
Stay globally informed with exclusive story from New York Times.
5Enjoy Complimentary Subscriptions From Top Brands
Docubay Subscription
Stream new documentaries from all across the world every day.
Stories you might be interested in



Leave a Reply