Cement stocks today fell by up to 3 per cent after the National Company Law Appellate Tribunal dismissed 11 cement-makers' plea, challenging the CCI order to impose a penalty of Rs 6,700 crore for alleged cartelisation.
Shares of India Cements fell by 3.29 per cent, UltraTech Cement dropped 2.39 per cent, Ambuja Cements 1.50 per cent, Grasim Industries 1.31 per cent, JK Lakshmi Cement 1.26 per cent and ACC 0.28 per cent on BSE.
The appeals are dismissed, said the NCLAT, which now is an appellate authority over the Competition Commission of India (CCI).
In August 2016, CCI had slapped approximately Rs 6,700 crore penalty on 11 cement firms including UltraTech, ACC, Ambuja, Ramco and JK Cement as well as the industry body Cement Manufacturers Association (CMA) for indulging in cartelisation.
This was challenged by the cement makers before the Competition Appellate Tribunal, which had on November 22 stayed CCI's direction to pay 10 per cent of the penalty within a month of the order.