The Competition Commission of India (CCI) has imposed a penalty of Rs 200 crore on Maruti Suzuki India Ltd over anti-competitive practice of imposing a discount control policy, thereby restricting dealers from offering higher level of concessions to the consumers. The anti-trust body, in its order, said that Maruti Suzuki not only entered into an agreement with its dealers across India for the imposition of discount control policy amounting to retail price maintenance (RPM) but also monitored the same by appointing Mystery Shopping Agencies (MSA) and enforced the same through the imposition of penalties, which resulted in "appreciable adverse effect on competition" within India.

It has directed MSIL to cease and desist from indulging in RPM directly or indirectly, which has been found by the commission in the present order to be in contravention of the provisions of Section 3(4)(e) of the Act. "Having considered the nature of the infringing conduct and the post-pandemic phase of recovery of automobile sector, the Commission takes a considerate view and deems it appropriate to impose a penalty of Rs 200 crore only upon the MSIL, as against a maximum penalty permissible under the provisions of the Act, which may extend upto ten per cent of the average of the turnover of the entity for the last three preceding financial years," it said.