KUALA LUMPUR: The High Court today quashed the RM86.8 million fine proposed by the Malaysia Competition Commission (MyCC) against Grab Holdings and its two subsidiaries for violating the Competition Act 2010.
Judge Datuk Wan Ahmad Farid Wan Salleh made the ruling during online proceedings today.
Ahmad Farid in his judgement said MyCC's decision to propose the fine had breached the natural justice and tainted with procedural impropriety.
"Hence, I allowed the certiorari application to quash the (MyCC) decision," he said.
The court also did not issue any order for damages as it found there was no element of mala fide in the part of MyCC.
However, Ahmad Farid ordered MyCC to pay RM20,000 costs to Grab.
On Oct 3, 2019, MyCC, in its investigation, found that Grab had abused its dominant position by imposing restrictive clauses on its drivers; preventing them from promoting and providing advertising services for the latter's competitors; and the transit media advertising market.
This had distorted competition in the e-hailing market, creating barriers to entry and expansion for Grab's existing and future competitors.
Under the Competition Act 2010, an enterprise is prohibited from engaging, whether independently or collectively, in any conduct which amounts to an abuse of a dominant position, although being a monopoly or a dominant player is not against the law.
This prompted Grab Holdings and its two subsidiaries to seek leave to initiate a judicial review to challenge MyCC's proposed decision to fine the companies.
In February 2020, the High Court dismissed Grab Holdings' application as it deemed the move premature given that the proposed decision was not yet final.
On appeal, the Court of Appeal, on April 19 last year granted leave to the three companies to commence a judicial review.