Relief for Grasim as NCLAT sets aside ₹302-cr CCI penalty; fresh hearing ordered

Grasim Industries Ltd, the flagship company of the Aditya Birla Group, on Tuesday (May 5) said it has received relief after the National Company Law Appellate Tribunal (NCLAT) set aside a Competition Commission of India (CCI) order imposing a ₹301.61-crore penalty on the company and remanded the matter back to the regulator for fresh hearing and consideration.

 

The order relates to the CCI’s March 16, 2020, decision concerning Grasim Industries’ viscose staple fibre (VSF) business, which had imposed

the penalty along with certain behavioural directions. The company had earlier informed stock exchanges about the CCI order on March 16, 2020.

 

Grasim Industries had filed an appeal before the NCLAT against the CCI order and obtained a stay. The company had not created any provision in its books of account for the penalty.

 

ALSO READ | Grasim Industries approves a composite arrangement to consolidate its renewable energy assets

 

In its latest order dated May 5, 2026, NCLAT set aside the CCI order and remanded the case back to the commission for a fresh hearing. As a result, the ₹301.61-crore penalty and related behavioural directions have been set aside.

 

The CCI had initiated the proceedings under the Competition Act, 2002, related to the viscose staple fibre business of Grasim Industries.

 

Shares of Grasim Industries Ltd ended at ₹2,876.65, up by ₹20.55, or 0.72%, on the BSE today, May 5.

 

ALSO READ | Grasim Industries Q2: Revenue rises 26%, net profit up 11.6%