The Supreme Court stayed an NCLAT order affirming penalty of Rs 751.83 crore on Heineken’s subsidiary, United Breweries Limited, in the alleged beer cartel case.
The apex court, however, directed the company to deposit an additional 10% total penalty amount (over and above the amount already subsisting 10% deposit before the NCLAT).
“The Company will comply with the directions and the said additional 10% penalty amount shall be deposited within the stipulated time as mentioned in the order passed by the Hon’ble Supreme Court,” UBL said in a BSE filing.
Last week, the company announced that its managing director and chief executive officer, Rishi Pardal, tendered his resignation on 16 February 2023. UBL said its board has commenced a search for a new managing director & CEO for the company.
The company had made disclosures on December 23, 2021, December 08, 2021, and September 24, 2021, in addition to earlier disclosures as well as in its quarterly and annual financial reporting in respect of the CCI matter, the beer-maker added.
On December 23, 2022, UBL had referred to the decision of NCLAT dismissing the Company’s appeal filed against the CCI order dated September 24, 2021. The Company had filed a statutory appeal against the order of the NCLAT before the Supreme Court of India on January 30, 2023.
The NCLAT, in December of last year, upheld the Rs 873-crore penalty imposed by fair trade regulator CCI on UBL and other beer makers. A two-member bench said after examining the materials and considering the arguments, it was of opinion that the “appellants had already admitted in the leniency application regarding their involvement in the cartelisation”.
The CCI on September 24, 2021, imposed penalties totalling over Rs 873 crore on UBL, Carlsberg India, All India Brewers’ Association (AIBA) and 11 individuals for cartelisation in the sale and supply of beer.
