2 Days Ago, Maruti Suzuki one of the Major Cars Manufacturing Company received fine from Competition Commission of India
Maruti Suzuki indulging in unfair practices did not allow dealers to provide discount of cars, CCI penalized Maruti Suzuki India Ltd with 200 Crs for the Same.
CCI found ‘discount control policy’ was been circulated all over dealership wherein dealers where discouraged to give additional discounts, freebies and more stuff along with the vehicles, which was beyond MSIL companies limits.
“We have seen the CCI order dated August 23. We are examining the order and will take appropriate action under law,MSIL has always worked in the best interests of consumers and will continue to do so'', spokesperson for MSIL stated.
“If a dealer wanted to offer additional discounts, prior approval of MSIL was mandatory. Any dealer found violating such discount control policy was threatened with imposition of penalty, not only upon the dealership, but also upon its individual persons, including the direct sales executive, regional manager, showroom manager, team leader, etc,” the CCI said.
The CCI further found that MSIL has appointed "mystery shopping agencies’'would have a check if additional discounts were provided by dealers to customers.
“Monitored and enforced the same [the discount policy] by monitoring dealers through MSAs, imposing penalties on them and threatening strict action like stoppage of supply, collecting and recovering penalty, and utilisation of the same,” the CCI said.
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