CCI suspends Amazon-Future deal, imposes Rs 202 crore penalty
New Delhi, Dec 17: In a major setback for US retail giant, the Competition Commission of India (CCI) on Friday suspended the approval for the Amazon-Future deal and also imposed a Rs 202 crore penalty on Amazon.
Reportedly, the CCI imposed penalty on Amazon for providing "false and incorrect information" and "suppressing material facts" of 2019 Future deal. The country's antitrust body has also asked Amazon to again file detailed Form II within a period of 60 days.
In its order, the CCI said it considers "it necessary to examine the combination (deal) afresh," adding its approval from 2019 shall "shall remain in abeyance" until then.
Amazon had "suppressed the actual scope" of the deal and had made "false and incorrect statements" while seeking approvals, the CCI order added.
"In exercise of the powers conferred under sub-section (2) of Section 45 of the Act, the Commission hereby directs Amazon to give notice in Form II within a period of 60 days from the receipt of this order, and, till disposal of such notice, the approval granted vide Order dated 28th November, 2019, in Combination Registration No. C-2019/09/688, shall remain in abeyance," the CCI order read.