CCI seeks replies from steel firms after cartel probe, no ruling yet: Sources

India’s competition watchdog has not passed any ruling on allegations of cartelisation against steel companies, despite its investigation arm flagging concerns, CNBC-TV18 sources said.

The probe, headed by CCI's director general, has concluded that around 35 steel companies have prima facie indulged in cartelisation. However, the Competition Commission of India (CCI) has not accepted or rejected the findings at this stage.

According to sources, the CCI has sought responses from all the companies named

in the investigation report and will now fix a date to hear all parties. The regulator will first decide whether the firms are in contravention of antitrust rules and will subsequently rule on penalties, if any.

As per the law, the CCI can impose penalties of up to 10% of a company’s total turnover if violations are established. No orders or rulings have been issued so far, the sources added.

Earlier on Tuesday (January 6), a Reuters exclusive reported that the CCI had found Tata Steel, JSW Steel, state-run Steel Authority of India Ltd and 25 other firms to have breached antitrust law by colluding on steel prices.

The report added that 56 senior executives were also held liable over different periods between 2015 and 2023, citing a CCI order dated October 6 that is not public.

The probe began in 2021 following complaints of supply restriction and price coordination, Reuters said, noting that the findings are subject to review before a final order is issued.