ED seizes Rs 5,500 cr of Xiaomi India for FEMA violations

Enforcement Directorate has seized more than 5,500 crores from Xiaomi India. Xiaomi India is the subsidiary of the Chinese smartphone company Xiaomi. The brand has been accused of making illegal remittances to foreign entities and then showing them as royalty payments.

The enforcement directorate has been probing various tech companies for forex violations.

Xiaomi India said, “We have studied the order from government authorities carefully. We believe our royalty payments and statements to the bank are all legit and truthful, ” The brand further stated that they are committed to India and shall always comply with laws and regulations.