23.09.2014

JCB India offices searched

The Competition Commission of India (CCI) has raided two offices of JCB India in connection with an accusation of unfair practices and abuse of its dominant position.

The regulator says that is has ordered a detailed probe into accusations that the company used its dominant position to keep competitors from gaining a foot hold in the backhoe loader market. The search follows a complaint from Bull Machines which claimed that JCB India had abused the judicial system to restrain it and its dealers from dealing in backhoe loaders.

According to the CCI a subsequent investigation generated prima-facie evidence against JCB India and its subsidiary JC Bamford Excavators. It also suggested that JCB India had not been co-operating fully with the investigation, leaving it no choice but to search its offices in Faridabad and Delhi.

A statement from JCB India refrained from acknowledging or denying the search but did say: "JCB India takes compliance with competition rules very seriously and will co-operate fully with the Competition Commission of India in connection with its investigation. The company is fully confident that the Commission will reject the baseless allegations upon completion of its investigation.”