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NCLAT Declines Stay on CCI’s Rs 936.44 Crore Google Penalty, Asks Firm to Pay 10%

NCLAT refused to grant interim relief to Google over the Rs 936 crore fine imposed by CCI.

National Company Law Appellate Tribunal (NCLAT) has refused to stay the Rs 936.44 crore penalty imposed by the Competition Commission of India (CCI) over Google Play Store policies, news agency PTI reported on Wednesday. The tech giant had asked the court to block the CCI’s order allowing apps to use third-party payment apps for two months.

NCLAT also ordered Google to pay a 10% CCI penalty. It will hear an appeal against the fine on April 17.

The CCI had earlier said Google had “different treatment” of Indian customers. The Supreme Court will hear the case on January 16.

At the Supreme Court, Chief Justice DY Chandrachud and Justice PS Narasimha took note of the submission of senior counsel AM Singhvi representing the US company. They said they would set out the request for the hearing on January 16.

The senior lawyer said the CCI had passed a particular directive and had until January 19 to comply with the order. “No funding abuse of dominance was found,” he said.

On January 4, NCLAT rejected the competition watchdog’s temporary stay order against Google’s Rs 1,337 crore fine and ordered it to pay 10%.

NCLAT acknowledged the search giant’s challenge to CCI and imposed a fine of Rs 1,337.76 crore for abusing the dominance of its Android smartphone operating system in the country.

Last October, the CCI asked Google to allow smartphone users on the Android platform to uninstall apps and let them choose their preferred search engine. The order will take effect on January 19.

In October, the CCI fined Alphabet Inc’s subsidiary $161 million for exploiting its dominance of the Android market, which powers 97% of smartphones in India and is a crucial growth factor for the US giant.

Google suffered a setback on Wednesday, facing a challenge after an appeals court rejected its request to block the antitrust ruling. The company argued that implementing the CCI’s directive would harm its long-standing business model and consumer interests.

Google challenged the court’s decision on Saturday, Supreme Court records show. A hearing date has yet to be set.

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