Vivo India remitted approximately 50% of its revenue to China to avoid paying taxes
To avoid paying taxes in India, Vivo India remitted approximately 50% of its revenue, or Rs 62,476 crore, to China.
Under anti-money laundering laws, the Enforcement Directorate seized Rs 465 crore in funds, Rs 73 lakh in cash, and 2 kg gold.
ED has carried out searches at 48 locations across the country belonging to VIVO Mobiles India Pvt. Ltd. and its 23 associated companies, and seized balance of Rs. 465 Crore lying in 119 bank accounts, including FDs of 66 Crore of Vivo India, 2kg gold bars, and Rs. 73 Lakh cash.
— ED (@dir_ed) July 7, 2022
“ED has conducted searches at 48 locations across the country belonging to VIVO Mobiles India Pvt. Ltd. and its 23 associated companies,” according to the agency.
The ED believes the alleged forgery was done to launder illegally generated funds through the use of shell or paper companies.
Some of these “criminal proceeds” were diverted abroad or invested in other businesses in order to avoid Indian tax and enforcement agencies.
The directors of one of the companies associated with Vivo have most likely fled India, as the ED has registered a money laundering prevention case.