Xiaomi Former India Head Manu Jain Appears Before ED FEMA

New Delhi: Manu Kumar Jain, the worldwide vice chairman and former India head of handset maker Xiaomi has appeared earlier than the Enforcement Directorate in reference to an alleged contravention of the overseas alternate regulation. The federal probe company is investigating the corporate and its executives underneath the provisions of the International Change Administration Act (FEMA) associated to overseas remittances value crores of rupees remodeled the previous couple of years, stated a report by information company PTI citing sources. 

Jain, the previous India head of Xiaomi, was questioned in regards to the India operations of the corporate and his assertion was recorded at ED’s Bengaluru zonal workplace, they stated. He was requested to furnish quite a lot of monetary paperwork linked to the corporate which, sources stated, have been submitted. Paperwork associated to Xiaomi’s shareholding, supply of funds, vendor contracts, and funds made to Indian administration and despatched overseas had been sought by the ED from Jain, who supervised its operations in India until not too long ago, officers stated.

Requested in regards to the probe, a Xiaomi spokesperson had earlier informed ABP Stay: “Xiaomi is a law-abiding and accountable firm. We give paramount significance to the legal guidelines of the land. We’re totally compliant with all of the laws and are assured of the identical. We’re cooperating with authorities with their ongoing investigation to make sure they’ve all of the requisite info.”

This growth signifies the widening scrutiny of the Chinese language smartphone maker, as its India workplace was raided in December final yr in a separate investigation too. 

Earlier in December final yr, over 20 workplaces within the Nationwide Capital Area (NCR), Karnataka Mumbai, Rajkot of handset makers Oppo and Xiaomi had been raided by the revenue tax division, a report in The Financial Instances had stated. Taxmen had additionally searched the workplaces of OnePlus, one other Chinese language handset maker that has been merged with sister model Oppo, however features as a separate agency.

The revenue tax raids had been based mostly on “actionable intelligence inputs” on “a number of violations” by the Chinese language corporations, a senior official was quoted as saying within the ET report.

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