WEB DESK
The Enforcement Directorate Saturday “seized” over Rs 5,551-crore worth fund of Chinese mobile manufacturing company Xiaomi for violating the Indian foreign exchange law, officials said.
In a press release after the ED’s statement, Xiaomi Technology India Private Limited said its operations in the country are “firmly compliant with local laws and regulations”.
The company (also called Xiaomi India) is a trader and distributor of mobile phones in the country under the brand name MI. “Xiaomi India is a wholly-owned subsidiary of the China-based Xiaomi group. This amount of Rs 5,551.27 crore lying in the bank accounts of the company has been seized by the Enforcement Directorate,” the agency said in a statement.
The seizure has been done under sections of the Foreign Exchange Management Act (FEMA) after a probe was launched by the federal agency against the company in connection with alleged “illegal remittances” sent abroad by the Chinese firm in February, it said.