ED raids the locations of China’s mobile company Vivo, acting on allegations of money laundering

Raids on the locations of China’s mobile company Vivo

Image Credit source: File photo

Before Vivo, ED has taken action against another Chinese company. Before Vivo, ED took action against Xiaomi. Xiaomi was accused of violating FEMA rules.

The Enforcement Directorate on Tuesday arrested Chinese smartphone manufacturing company Vivo (…Vivo) and conducted searches at 44 locations across the country in the investigation of money laundering allegations against the firms concerned. the officials Ed ,Enforcement Directorate) gave this information about this action. Officials said that these raids are being conducted under sections of the Prevention of Money Laundering Act (PMLA). Officials also said that the agency is conducting searches at 44 locations linked to Vivo and its related companies in Delhi, Uttar Pradesh, Meghalaya, Maharashtra and other states.

Chinese shareholders accused of forgery

The federal agency had recently registered a money laundering case after the Delhi Police (Economic Offenses Wing) filed an FIR against a distributor of the agency based in Jammu and Kashmir. It was alleged in this FIR that some Chinese shareholders of that company forged their identity documents. The Enforcement Directorate suspects that this alleged forgery was done to launder illegally earned money by using shell or fake companies. Some of this criminal proceeds were diverted abroad or diverted to other businesses by defrauding the Indian tax and enforcement agencies.

ED action on Xiaomi too

Before Vivo, ED has taken action against another Chinese company. Before Vivo, ED took action against Xiaomi. Xiaomi was accused of violating FEMA rules. In this case, the ED had ordered to freeze the assets of about Rs 5500 crore of Xiaomi. On the other hand, in which case action is being taken against Vivo, information has not been given yet. However, in the year 2020, a case related to fake IMEI number was registered against Vivo.