India offices of Vivo raided by Enforcement Directorate for money laundering

A well-known Chinese smartphone manufacturer has been the target of raids by the Enforcement Directorate. Around 44 locations around the nation and the company's facilities are being searched by the government. The latest searches are tied to a probe into money-laundering against Vivo and its affiliated companies, which manufacture Chinese smartphones.

The searches are being conducted in accordance with the Prevention of Money Laundering Act, according to a report by PTI. According to them, the agency is conducting searches at 44 locations connected to Vivo and affiliated businesses. The details of the accusations are still unknown.

According to reports, the CBI was looking into a Chinese smartphone brand, but because of possible PMLA violations, the matter has been turned over to the ED.

The ED was also scanning famous Chinese smartphone manufacturers like Xiaomi and Oppo. In reality, the ED actually blocked Xiaomi India accounts containing over Rs 5,500 crore throughout the probe.

Later, the court gave the Chinese company access to the money for regular business use.

Xiaomi was the subject of an inquiry by the Enforcement Directorate that started in February of this year. The ED asserted that the business sent out illicit remittances.

Just one year after entering the Indian market, in 2015, Xiaomi India was charged with remittances.

Xiaomi had denied doing anything improper. Xiaomi India asserted that its royalty payments and bank statements were accurate.

According to their clarification, Xiaomi India made these royalties payments for the in-licensed technology and intellectual property (IP) utilized in the Indian version of their goods.