NCLAT stays CCI penalty of ₹136 crore on Google in search bias case

The Competition Commission of India (CCI) in February this year had imposed a fine of ₹136 crore on search engine major Google for unfair business practices in the Indian market for online search.

FILE PHOTO: The Google logo is pictured atop an office building in Irvine, California, U.S. August 7, 2017. REUTERS/Mike Blake/File Photo (REUTERS)

The National Company Law Appellate Tribunal (NCLAT) today stayed an order of the Competition Commission of India (CCI) that imposed a penalty of ₹136 crore on Google for unfair business practices in online search market.

While admitting the plea of Google against the order, the NCLAT bench headed by Chairman Justice S J Mukhopadhaya directed the internet major to deposit 10 per cent of the penalty amount with it in four weeks.

The NCLAT listed the matter for hearing on May 28.

A Google spokesperson said: "NCLAT has accepted our appeal for review of aspects of the CCI decision and its associated findings."

The Competition Commission of India (CCI) in February this year had imposed a fine of ₹136 crore on search engine major Google for unfair business practices in the Indian market for online search.

Passing the order on complaints that were filed back in 2012, the regulator said the penalty is being imposed on Google for "infringing anti-trust conduct.

The penalty amount of ₹135.86 crore translates to 5 per cent of the company's average total revenue generated from India operations from its different business segments for the financial years 2013, 2014 and 2015, according to the CCI order.

The ruling has come on complaints filed by Matrimony.com and Consumer Unity & Trust Society (CUTS) -- back in 2012 -- against Google LLC, Google India Pvt Ltd and Google Ireland Ltd. RELATED: Why the Competition Commission of India is wrong in penalising Google