Not under CCI investigation, matter relates to India Cements: UltraTech

Business Standard

a day ago

The country's leading cement maker UltraTec, on Saturday said it is not under investigation by the fair trade regulator CCI over alleged contravention of competition norms in tenders floated by state-run oil major ONGC.
"It is clarified that the Company is not under investigation in this Case No. 35 of 2020 before the Competition Commission of India (CCI).
The company has neither received any order from the CCI in this case nor have the company's financials been sought by the CCI," said the Aditya Birla group flagship firm in a BSE filing.
It further said that its newly acquired entity India Cements Ltd (ICEM) is a party in case No 35 of 2020 and the South-India-based manufacturer is exploring legal options over the same.
"The India Cements Ltd (ICL), a subsidiary of the Company, is party to Case No. 35 of 2020 and is separately making appropriate disclosures in this regard, while exploring legal options," it said.
India Cements, which was earlier promoted by the Srinivasan family, was acquired by UltraTech in December 2024. It had acquired a 32.72 per cent stake from promoters and promoter group entities, along with a 22.77 per cent stake from the market of the Tamil Nadu-based company.
Meanwhile, in a separate filing on Saturday, India Cements said it is "yet to receive a full version of the investigation report of the Director General, under the Competition Act, 2002".
It is currently assessing its legal options and "there is no finding by the CCI at this stage against ICEM and no financial penalty has been levied".
Earlier, in May this year, CCI had directed India Cements, along with Dalmia Bharat Cements and Shree Digvijay Cements and their executives to submit financial documents, after its Director General in its investigations found contravention of competition norms.
The CCI direction came over a complaint filed by ONGC alleging cartelisation in its tender.
The Competition Commission of India (CCI) has also directed to submit their audited financial statement, including balance sheet and profit and loss account, within eight weeks of the order.
Besides, CCI has also directed their executives to submit detailed financials and income tax records for five years, along with formal responses to the investigation report.
On Friday, Dalmia Bharat, in a regulatory filing, said CCI is yet to hear in the matter or pass any formal order.
"DCBL remains committed to full regulatory compliance and is cooperating with the authorities," it said.
The CCI direction came over a complaint filed by ONGC alleging cartelisation in its tenders. Following this, the fair trade regulator had on November 18, 2020, directed its probe unit Director General to look into the issue.
The DG had submitted the report of its investigation on February 18, 2025, in which found contraventions of the competition regulations.
It had found that India Cements, along with Shree Digvijay Cement and Dalmia Cement, with a middleman named Umakant Agarwal, engaged in anti-competitive collusion.
Later, CCI on May 26, 2025, considered the investigation report and in a four-page order also directed the cement manufacturer to submit income derived from sales to alleged contraventions by the PSU.
The CCI notice also mentioned if there is non-furnishing of the financial details or incomplete/false information, within the time frame by the companies, then they would be liable under section 45 of the Act.