Zomato to BSE: Government investigation report is two year old; read the letter – Times of India

There were recently reports that the Competition Commission of India‘s (CCI) probe has found that food delivery platforms Zomato and Swiggy indulged in unfair business practices, including alleged preferential treatment to some restaurant partners. Bombay Stock Exchange sought a report from the food delivery app for the same. Replying to BSE, Zomato has said that the CCI investigation is not new and was ordered in 2022.
Incidentally, the report too said the same that the CCI probe was ordered in April 2022 and that the report was submitted to the regulator earlier this year.

Here’s the letter Zomato has shared with the BSE

Dear Sir/Ma’am,
We are in receipt of your e-mail bearing ref. no. L/SURV/ONL/RV/CM/(2024-2025)/ 82 dated November 8, 2024, seeking a clarification on news item appearing on “https://economictimes.indiatimes.com” captioned “CCI probe finds Zomato, Swiggy breached antitrust laws”.
In this regard, we would like you to note that the Hon’ble Competition Commission of India (“Commission”) had issued a prima facie order on April 4, 2022, which directed the Office of the Director General of the Commission (“DG”) to investigate potential violations under the Competition Act, 2002 (as amended) (“Competition Act”) (“Prima Facie Order”).
The Prima Facie Order was disclosed to the stock exchanges on April 5, 2022, pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“LODR Regulations”). A copy of the said disclosure is attached as Annexure A.
Since the intimation of April 5, 2022, the Commission, on merits, has not passed any order. Hence, there have been no further reportable events under the LODR Regulations that obligates the Company to make any disclosures under Regulation 30.
Accordingly, the aforementioned news article is misleading. We will continue to work closely with the Commission to explain why all our practices are in compliance with the Competition Act and that they do not have any adverse effect on competition in India.
Hope the above addresses your queries. We remain available to address any further queries that you may have on this matter.
Please note that this intimation will be made available on the Company’s website www.zomato.com.
For Zomato Limited
Sandhya Sethia
Company Secretary & Compliance Officer
Date: November 10, 2024
Place: Gurugram