The Competition Commission of India (CCI) has found Jaiprakash Associates Limited (JAL) to be in the contravention of the provisions of Section 4 (2) a (i) of the Act for imposing unfair and discriminatory conditions and has imposed a penalty of ₹ 13.82 crore on JAL.

The Commission said that company abused its dominant position in the market of independent residential units such as villas, estate homes in their integrated township by imposing unfair conditions on the allottees in Wish Town, Jaypee Greens project in Noida and Greater Noida.

"JAL who was a dominant player in the real estate market at the relevant time has a serious adverse effect on the market as well as their customers," read the order.

It further added that customers have suffered due to lower common areas than what was envisaged, they were made to pay more than what was originally agreed to, timely completion of the project was not achieved resulting in substantial harm to the competition and to consumers, ignoring its responsibility as a dominant player to set fair standards of industrial practices for other players in the market to emulate.

Therefore, the Commission imposed a penalty of ₹ 13.82 crore on JAL. The penalty was calculated @ 5 per cent of the average revenue of JAL from the sale of independent residential units in the integrated township located in Noida and Greater Noida during the financial years from 2009-10 to 2011-12.

The commission has also directed to pay a penalty within 60 days from the date of receipt of the order.

As per the order under section 27 of the Competition Act, 2002, the information has been filed under section 19 (1) (a) of the Competition Act, 2002 by Mrs Naveen Kataria (the informant) against Jaiprakash Associates Limited (the opposite party) alleging contravention of Section 4 of the Act.