September 07, 2008

MRTPC to probe cartelization by Indian steel companies

TOI reported that steel companies, already facing the heat from the centre over raising prices, may be headed for further trouble with the Monopolies & Restrictive Trade Practices Commission ordering a probe into possible cartelization.

As per report, MRTPC has asked its investigative arm Director General Investigation & Registration to look whether the companies have formed a cartel while they raised prices in the market. It said that "The matter will be looked into by the DGIR and apart from probing aspects of a cartel and would also study whether companies have engaged in unfair trade practices."

The DGIR inquiry comes just when Mr Ram Vilas Paswan union steel minister has cautioned private steel makers that the centre would take stringent steps if steel prices continued to rise. Mr Paswan even said that the centre would be left with no option other than to constitute a steel regulatory body if steel companies continued to defy the government.