Amazon concealed facts in Future Group deal: CCI

The letter complicates Amazon’s bitter legal battle with Future Group over the Indian’s firm’s decision to sell its retail assets to Reliance Industries - a matter that is now before the Supreme Court. 

Amazon has argued that terms agreed upon in its 2019 deal to pay $192 million for a 49per cent stake in Future’s gift voucher unit prevent its parent, Future Group, from selling its Future Retail Ltd business to Reliance. 

In the letter dated June 4, the antitrust regulator said Amazon hid factual aspects of the transaction by not revealing its strategic interest in Future Retail when it sought approval for the 2019 deal. 

“The representations and conduct of Amazon before the Commission amounts to misrepresentation, making false statement and suppression or/and concealment of material facts,” the letter said. It also noted that its review of the submissions made had been prompted by a complaint from Future Group. 

In the four-page letter, a so-called ‘show cause notice’, the CCI asked Amazon why it should not take action and penalise the company for providing false information. 

Amazon has yet to respond, according to a source with direct knowledge of the matter who declined to be identified as the letter has not been made public.