Business Today

Evaluating CCI's order on penalty: Etihad

The CCI fine of Rs 1 crore, which is to be paid within 60 days from the date of order, relates to pacts entered into between the two carriers on February 26 for sale of three landing/take-off slots of Jet at London Heathrow Airport to Etihad (LHR transaction). It also includes the lease of the same slots back to Jet.

twitter-logo PTI   New Delhi     Last Updated: December 20, 2013  | 21:25 IST
Evaluating CCI's order on penalty: Etihad
Petroleum Minister M. Veerappa Moily

A day after the Competition Commission imposed Rs 1-crore fine on Etihad Airways for non-disclosure of full information in the course of seeking approval for its purchase of 24 per cent stake in Jet Airways, the gulf carrier on Friday said it is evaluating the orders.

"We are evaluating the CCI's notification," Etihad said in response to a text message by PTI.

"So at present it would be inappropriate to comment further," the airline said.

The CCI fine of Rs 1 crore, which is to be paid within 60 days from the date of order, relates to pacts entered into between the two carriers on February 26 for sale of three landing/take-off slots of Jet at London Heathrow Airport to Etihad (LHR transaction). It also includes the lease of the same slots back to Jet.

The penalty would not have any impact on the approval for the deal given by CCI last month, the CCI said ion its order.

The Rs 2,060 crore deal has been facing turbulence ever since it was announced in April as only yesterday the Competition Appellate Tribunal (COMPAT) issued notices to the the CCI and Jet on a plea challenging the competition watchdog's clearance.

BJP leader Subramanian Swamy has already challenged the deal in the Supreme Court, alleging corruption.

The Supreme Court, during the last hearing, made it clear that it would quash the deal if there are any irregularities in it.

The competition regulator said it kept the quantum of fine low at Rs 1 crore after Jet and Etihad contended that they were unaware of the requirement for certain disclosures.

Youtube
  • Print

  • COMMENT
BT-Story-Page-B.gif
A    A   A
close