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CCI fines HP India Rs 126.87 crore over bid rigging in GeM tenders
Five resellers also penalised after regulator uncovers cartel in government PC bids
MUMBAI: It wasn’t just computers that were being configured bids, too, appear to have been carefully programmed. The Competition Commission of India (CCI) has slapped HP India with a hefty penalty after concluding that the company manipulated government procurement tenders by orchestrating bids through its reseller network.
The Competition Commission of India (CCI) has imposed a penalty of Rs 126.87 crore on HP India for engaging in anti-competitive practices in the sale and supply of personal system products. The regulator has also levied a combined penalty of around Rs 1.22 crore on five HP resellers for colluding with the company in government procurement tenders.
In its order dated July 13, 2026, the CCI directed HP India and the five resellers to immediately cease and desist from practices found to be in violation of Sections 3(3)(d) read with Section 3(1) of the Competition Act, 2002, which prohibit bid rigging and anti-competitive agreements.
The case originated from a lesser penalty application filed by HP India under Section 46 of the Competition Act, through which the company disclosed the existence of cartelisation involving itself and certain channel partners.
Following an investigation, the regulator found that HP India dictated bid prices to its resellers and manipulated participation in Government e-Marketplace (GeM) tenders by selectively withholding authorisations. According to the CCI, these actions influenced bidding outcomes, distorted competition and unfairly benefited the company during government procurement.
The Commission further held that Delphi Infosolutions, Digitech Computers, Orbit Techsol, Hind Technocare and Krishna Computers colluded with HP India during the bidding process, amounting to cartelisation under the Competition Act.
Beyond corporate penalties, the regulator also held officials from HP India and the five reseller firms liable under Section 48 of the Act, imposing monetary penalties on the individuals responsible for the anti-competitive conduct.
The order was passed in Suo Moto Case No. 07 of 2020, with the detailed ruling published on the CCI’s website. The decision marks one of the regulator’s most significant enforcement actions involving alleged bid rigging in public procurement and underscores its continued scrutiny of competition practices in government tenders.
