Amazon violated FDI norms, allege Future Retail independent directors

Independent directors of Future Retail (FRL) have complained to the Competition Commission of India (CCI), saying that American retail giant Amazon had violated foreign direct investment norms when it picked up a 49 per cent stake in the company’s promoter entity, Future Coupons (FCPL), and applied for the CCI’s approval by concealing facts.

Asking the CCI to revoke the approval granted to Amazon to buy a stake in FCPL, the independent directors said the watchdog should act to stop Amazon from perpetuating “its evil non-desirable designs” against the Indian company.

FCPL owns 9.9 per cent in FRL and Amazon had picked up a stake in FCPL in September 2019 just before FRL’s sales started falling and the company started defaulting in payments to its vendors.