China's Vivo in money laundering probe
India has blocked 119 bank accounts linked to Vivo's India business that were holding ₹4.65Bn ($58.76Mn), as part of a probe into alleged money laundering by the Chinese smartphone maker. The Enforcement Directorate has raided 48 locations of Vivo and its 23 related entities, alleging that sale proceeds of Vivo India were transferred out of India to show losses and avoid paying taxes.
In the Vivo investigation, the federal agency alleges the company remitted almost 50% of its total sales of 1.25 trillion rupees ($15.82 billion) to China "in order to disclose huge losses in Indian incorporated companies to avoid payment of taxes in India".
The directorate said in its statement Vivo's employees, including some Chinese nationals, did not cooperate during the search and "tried to abscond, remove and hide digital devices".The agency also seized two kilograms of gold bars and some cash during the operation, it said.
News of the raids prompted China's embassy in India to call for a fair business environment for its companies, saying late on Wednesday that India's multiple investigations into Chinese firms were damaging the confidence of foreign entities investing and operating in the country.
Xiaomi too has been under investigation since February, with the ED seizing $725 mn in the company's India bank accounts, alleging it had made illegal remittances abroad "in the guise of royalty" payments.
Many Chinese firms have struggled to do business in India after political tension surged following a border clash in 2020. India has cited security concerns in banning more than 300 Chinese apps since, and toughened rules on Chinese investment.
Vivo is one of India's biggest smartphone makers, accounting for a 15% market share, according to Counterpoint Research.
Xiaomi has the biggest 24% share, while South Korea's Samsung Electronics has 18%.
Source: Reuters
Bhaijaan’s bitcoin tumbles 90% in 24 hours
GARI token, a crypto asset endorsed by Bollywood's megastar Salman Khan, has tumbled about 90 per cent in the last 24 hours over rumoured hacks and wrongdoings. The total market cap to Gart Network tumbled to merely $6.25 million at the time of writing this report. There are a 4.5 cr tokens in circulation, with a maximum cap at 1,00 cr GARI tokens.
Gari token, the native token of Chingari App, is based on the Solana blockchain , with 50 million users in India.
the developers have refuted the allegations reported by various media platforms. Their statement added that the drop was likely due to a single sell order of over $2 million by a large token holder that affected the price , which pushed the price to $0.14 , as the market didn’t have the liquidity to handle the situation.