The shares of Eveready Industries India Ltd and Panasonic Energy India Co Ltd suffered a drop on the bourses following the decision of the Competition Commission of India to slap penalties on these two and one other dry cell battery manufacturer and their association for ``colluding to fix prices of zinc-carbon dry cell batteries in India .”
The penalty was fixed at ₹245.1 croers on Eveready, ₹52.8 crores on Nippo and ₹74.7 crores on Panasonic. However based on applications of lesser penalties filed by these companies the fines were deuced by 100 % for Panasonic, by 30 % for Eveready and by 20 % for Nippo.
The order , which came late on Thursday said that the case was taken up suo motu by CCI. Investigations revealed that the three battery manufacturers, facilitated by their assoc iation ``had indulged in anti-competitive conduct of price co ordination, limiting production / supply as well as market allocation” from 2008 till August 2016 according to an official statement .
Following the reduction in penalties, Eveready fine stood at ₹171.5 crores , Nippo’s was ₹42.3 crores. No penalty was imposed on Panasonic.
Eveready said in a regulatory filing that it will take appropriate action after examining the order fully. Its shares fell by nearly 10 %. Panasonic said that the company has received full immunity and provide additional details, if any, and take necessary steps, once the Company has receives the order. However Panasonic too lost value although by only 1 %
