Chinese company Vivo sent Rs 62,476 crore abroad from India to avoid tax: ED
Many companies doing business in India are adopting new avenues to avoid tax payment. Such cases have come to light in the recent past. The next name in this episode has been added to the Chinese company Vivo. The Enforcement Directorate (ED) said on Thursday that smartphone maker Vivo has “illegally” transferred Rs 62,476 crore to China to avoid paying taxes in the country. The ED claims to have busted a major money laundering racket involving Chinese nationals and several Indian companies.This money is being told about half of Vivo’s total business of Rs 1 lakh 25 thousand 185 crore. Two days ago, the ED had raided 48 places related to Vivo Mobiles India Pvt Ltd, after which this statement has come to the fore. The ED has also said that after the raids, it has seized Rs 465 crore, Rs 73 lakh in cash and 2 kg gold bars kept in 119 bank accounts.
The action on Vivo came after the investigative agency came to know that three Chinese nationals and another person involved 23 companies in India. The name of a chartered accountant Nitin Garg is also coming up in the case. It is said that all Chinese citizens have left India during the year 2018 to 21. They have been identified as Bin Lu, Zhengshen Ou and Zhang Ji. Bin Lu is said to be the ex-director of Vivo. He left India in 2018, while the remaining two citizens left the country in 2021.
The ED has said that these (23) companies transferred huge amounts of funds to Vivo India. In addition, out of the total sales proceeds of Rs 1,25,185 crore, Vivo India remitted Rs 62,476 crore or nearly 50 per cent of the turnover outside India, mainly to China.
The ED’s action is being seen as part of the central government’s crackdown on Chinese entities and crackdown on such firms and their associated Indian operatives who are allegedly involved in serious financial crimes such as money laundering and tax evasion while working here. Are included.