Xiaomi Global VP Manu Kumar Jain summoned by Enforcement Directorate: Report

According to a report, the Enforcement Directorate summoned former India Head and Vice President of Xiaomi Global. Reuters cites two sources that claimed they had direct knowledge. Jain was summoned to investigate whether Indian foreign currency laws were violated by the company’s business practices.

According to the report, Xiaomi was under surveillance since February. In the past weeks, the ED asked Manu Kumar Jain for a appearance before their offices. Jain, who is currently vice-president and based in Dubai, holds this position. According to reports, he was already in India at the time that the ED summoned Jain.

A spokesperson for Xiaomi claimed that Xiaomi abides to all Indian laws, and is also fully compliant with the regulations.

The statement stated that “We will cooperate with the authorities in their ongoing investigation to make sure they have all of the necessary information.”

The Income Tax department raided Xiaomi offices in December 2013. This was an isolated case of tax evasion. Oppo was another Chinese company that came under attack by the IT department.

According to one of these sources, the ED was investigating Xiaomi India’s relationships with its parent company Xiaomi. According to the report, the investigation is also being done on contract producers of the company.

According to the second source, the ED had already sent a notice asking Jain for documents from Xiaomi in February. Data sought included information on foreign funding, shareholding, funding patterns and financial statements as well as key executives.

Conclusion

According to a report, the Enforcement Directorate summoned former India Head and Vice President of Xiaomi Global. Reuters cites two sources that claimed they had direct knowledge. Jain was summoned to investigate whether Indian foreign currency laws were violated by the company’s business practices. The ED was investigating Xiaomi India’s relationships with its