Competition Appellate Tribunal has stayed fair trade regulator CCI's order imposing over Rs 74 crore penalty on Alkem Laboratories.
In an order issued last December, Competition Commission of India (CCI) penalised Alkem Laboratories and its two officials for indulging in unfair business practices.
On an appeal filed by the company, the tribunal has stayed the order.
"... Operation of the impugned order shall remain stayed subject to the condition that within four weeks from today, the appellant shall deposit 10 per cent of the penalty in the Registry of the tribunal," Compat said in an order dated February 5.
The Registry would in turn deposit the amount in a fixed deposit of one year's duration.
Apart from imposing Rs 74.63 crore fine on Alkem, CCI had also penalised two of the company's employees - Johnson Mathew and T K Haridas.
Besides, in the same case the regulator had slapped fines on All Kerala Chemists and Druggists Association (AKCDA) and one of its officials as well.
In its order, CCI had directed Alkem, AKCDA and their officials/office bearers to "cease and desist from indulging in any of the practices which are found to be anti-competitive in terms of the provisions of section 3 of the (Competition) Act".
Section 3 of the Act pertains to cartelisation.
CCI's ruling had come on a complaint which alleged that Alkem did not supply medicines even after agreeing to do the same to a distributor.
