MC EXCLUSIVE CCI summons steel pipe companies in connection to cartelisation, bid-rigging probe

The commission has sweeping powers under the rules to clamp down on cartels including powers to conduct raids, issue cease, desist orders, and even hold top executives personally liable.

• CCI summons top pipe makers' executives in ongoing cartel probe
• Executives challenge CCI's deposition rules in High Courts
• CCI may impose steep penalties if companies are found guilty

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India's anti-trust regulator the Competition Commission of India (CCI) has summoned several top executives of pipe manufacturers including Jindal Saw, Man Industries, Welspun and Maharashtra Seamless amongst others in connection to an ongoing cartel investigation, said people with direct knowledge of the matter.

These summons come after the competition watchdog had raided offices of major steel pipe manufacturers in September 2025 as a part of CCI investigation into alleged bid-rigging, the people cited above added.

In September 2025 the CCI conducted surprise raids at the offices of major steel pipe manufacturers, as part of an investigation into alleged bid-rigging. The case is based on a 2023 compliant filed by the state-run Oil and Natural Gas Corporation (ONGC), which alleges cartelisation and anti-competitive practices related to procurement tenders for seamless pipes.

“The hearings started on January 12 and are ongoing where CCI will depose the top executives of the steel pipe companies. Meanwhile some of the pipe makers have filed cases in various High Court against these depositions on technical grounds that CCI is not allowing its top executives to have a legal representative present while questioning,” said one of the persons cited above. “These cases may delay the cartel case, however there is no merit in the argument since CCI never allows lawyers to be present while questioning any accused.”

The commission has sweeping powers under the rules to clamp down on cartels including powers to conduct raids, issue cease, desist orders, and even hold top executives personally liable. Additionally, the regulator can also impose steep penalties on the companies found guilty, going up to 10% of the global turnover of the company.

“It looks like a cartel investigation under Section 3(3) of the Competition Act by the DG in the market of pipes. The investigating officer will ask the company officials, generally from the sales marketing vertical, certain questions or will confront them with docs / information and record their statements - which are binding on the parties,” said Subodh Prasad Deo, former additional director general, CCI and currently partner at KBD Partners.

Legal experts say these depositions play a critical role in determining outcome of the investigation. “For companies involved, this is a critical phase. How companies conduct themselves during the investigation can materially influence both the outcome and the severity of any eventual penalties,” said Ketan Mukhija, partner, Kocchar & Co

Cartelization of pipes has been under the CCI radar for past few years. In 2020, CCI imposed a total penalty of Rs 30 lakh on seven suppliers of polyacetal protective tubes used by Indian Railwayss. These companies were found guilty of bid-rigging and market sharing. The quantum of these fines is lower since CCI provided special dispensation to these companies taking into consideration that all of them were Medium and Small Enterprises (MSMEs).