DLF Limited vs Competition Commission of India

Appeals admitted. On 12/8/2011, the Competition Commission of India ("CCI") imposed a penalty of Rs. 630 crores on the Appellants. The Appellants carried the matter to the Competition Appellate Tribunal ("COMPAT"). On 9/11/2011, COMPAT stayed the recovery of amount of penalty subject to the Appellants filing an undertaking to pay interest at 9% per annum on the amount imposed as penalty or such amount as may be ultimately determined by the COMPAT for the period from the date of order by the CCI till date of payment. We are informed that this undertaking has been filed by the Appellants.

Now that by the impugned order, the COMPAT has affirmed the order passed by the CCI imposing penalty of Rs. 630 crores on the Appellants, we direct the Appellants to deposit the said penalty amount of Rs. 630 crores in this Court. So far as the interest on the penalty amount, in terms of order dated 9/11/2011 of the COMPAT is concerned, the Appellants are directed to file a fresh undertaking within three weeks from today in this Court that in the event, the appeals are dismissed, the Appellants shall pay the said amount accumulated, as on the date of payment or such amount as may be directed by this Court.

Mr. Harish Salve, learned senior Counsel appearing for the Appellants, has requested that the Appellants may be given some time to deposit the amount of penalty. He prays that six months' time may be granted. We are not inclined to grant six months' time. We grant three months' time to the Appellants to deposit the penalty amount. However, out of the total penalty amount of Rs. 630 crores, the Appellants shall deposit an amount of Rs. 50 crores in this Court within a period of three weeks from today. On receipt of Rs. 50 crores, the Registry of this Court shall invest the same in any nationalized bank on usual terms. Similarly, on receipt of the balance amount of penalty from the Appellants, the Registry of this Court shall invest it in any nationalized bank on usual terms.