Coal India fined $290 million by competition regulator CCI

MUMBAI Wed Dec 11, 2013 2:37am IST

A labourer lays coal balls out to dry at a factory in Kolkata November 4, 2010. REUTERS/Rupak De Chowdhuri/Files

A labourer lays coal balls out to dry at a factory in Kolkata November 4, 2010.

Credit: Reuters/Rupak De Chowdhuri/Files

Related Topics

Stocks

   

MUMBAI (Reuters) - The competition regulator has imposed a fine of 17.7 billion rupees on state-run miner Coal India(COAL.NS) for abusing its dominant position and imposing unfair conditions in fuel supply agreements with customers.

The Competition Commission of India (CCI) on Tuesday issued a "cease and desist order" to the state miner and directed it to modify clauses in its fuel supply contracts related to sampling and testing, transportation charges, and compensation on supply of stones.

Officials at Coal India, the world's largest coal miner by output, were not immediately available for comment.

The company, which accounts for 80 percent of India's coal output, changed its pricing system last year, allowing it to charge higher prices from some customers. However, it still sells domestic coal at discounts of between 45 and 70 percent to international prices.

The CCI had launched a probe earlier this year after complaints from state utilities Maharashtra State Power Generation Co. and Gujarat State Electricity Corp against the miner and its units.

(Reporting by Prashant Mehra; Editing by Sunil Nair)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Jaitley's Health

Jaitley's Health

Finance minister back in hospital for check-up.  Full Article 

Deutsche on RBI

Deutsche on RBI

Easing liquidity may make RBI less hawkish: Deutsche.  Full Article 

Alibaba IPO

Alibaba IPO

IPO ranks as world's biggest after additional shares sold   Full Article 

President-Elect

President-Elect

Ghani named Afghan president-elect after deal to end election dispute  Full Article 

G20 Meet

G20 Meet

G20 says nearing growth goal, but more needed from Europe  Full Article 

Asian Games 2014

Asian Games 2014

Full coverage of the 17th Asian Games as Incheon.  Full Coverage 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage