'Google breached India's antitrust rules'

Google Inc's search engine business has been found in violation of antitrust rules in India after a probe by staff investigators at the nation's regulator, according to people familiar with the matter. The investigation arm of the Competition Commission of India has submitted a report with the findings, said the people, who asked not be be identified as the results aren't public. The regulator hasn't made a final ruling and will only do so after giving all concerned parties an opportunity to respond, the people said.

Google has a dominant position in India's search market and most smartphones in the country use its Android operating system. The company is already dealing with a complaint in the European Union which accuses the company of abusing its position in Internet search.

"We don't comment on rumours and speculation," Google said in an e-mailed statement. "We're confident that we comply fully with India's competition laws, and we continue to work closely with the CCI in this ongoing investigation."

The regulator is investigating four complaints against Google for "alleged abuse of dominant position," India's Corporate Affairs and Finance Minister Arun Jaitley said in May.

The watchdog has the power to levy a fine or order division of an enterprise found to be abusing its dominant position.

D.S. Malik, spokesman for India's Finance Ministry, declined to comment.