Monday, May 3, 2021

Tags :

Decision | M&A | ICC

Indonesia Competition Commission (ICC) imposed a sanction for the second time this year on Travel Circle International (Mauritius) Ltd., for making a delayed notification again of the share acquisition conducted. This time, the acquistion of shares was conducted to DEI Holdings Limited. For this violation, The Commission Council in its Commission Council Hearing for the Reading out of Decision today in Jakarta imposed a sanction in the form fine of IDR1,000,000,000 (one billion rupiah) on Travel Circle International (Mauritius) Ltd.

The case under Register Number 27/KPPU-M/2020 had its origin from a pre-investigation conducted by ICC on the Alleged Violation of Article 29 of Law Number 5 Year 1999 in conjunction with (juncto) Article 5 of Government Regulation Number 57 Year 2010 as committed by Travel Circle International (Mauritius) Ltd., in the acquisition transaction of the majority of shares of DEI Holdings Limited, a holding company of various leading electronic retail companies. The acquisition which was conducted by Travel Circle International (Mauritius) Ltd,. became effective on March 28, 2019, thus, based on the provisions, the notification should be made to ICC by no later than May 14, 2019. However,  based on the results of the hearing proceedings, the evidence was found that Travel Circle International (Mauritius) Ltd., just made the notification on December 12, 2019.

Based on the mandatory notification provisions and various facts found in the hearing proceedings, the Commission Council decided that Travel Circle International (Mauritius) Ltd., had been legally and convincingly proven in violation of Article 29 of Law No. 5 Year 1999 Jo. Article 5 of Governmetn Regulation No. 57 Year 2010 and sentenced Travel Circle International (Mauritius) Ltd., to pay for a fine of IDR1,000,000,000 (one billion rupiah) and remit it in the state treasury by no later than 30 (thirty) days after the Decision has had a permanent legal force (inkracht).

ICC had also previously on March 4, 2021 imposed a fine of IDR1 billion on Travel Circle International (Mauritius) Limited for the delayed notification of its acquisition of shares conducted to Asian Trails Holding Ltd., a holding company which has several subsidiaries in Southeast Asia engaged in the field of travel services.