ED files first chargesheet against Chinese smartphone maker Vivo-India, others

livemint.com:

Vivo siphoned $13 bn abroad, ED tells court ED has arrested four persons, including the MD of the Lava International mobile company Hari Om Rai. The others who were taken into custody were Chinese national Guangwen alias Andrew Kuang, Chartered Accountants Nitin Garg and Rajan Malik.

Earlier this week, the Patiala House Court of Delhi issued a fresh notice to the jail superintendent with directions to file a medical status report on cardiology and gastroenterology of Hari Om Rai, Managing Director of Lava International. ‘Very concerned about Lava chief Rai’s arrest’ The ED claimed in its remand papers before a local court in New Delhi that the alleged activities of the four arrested enabled vivo-India to make wrongful gains that were detrimental to the economic sovereignty of India.

The probe agency raided vivo-India and its linked persons in July last year, claiming to have busted a major money laundering racket involving Chinese nationals and multiple Indian companies. The ED had then alleged that a whopping ₹62,476 crore was "illegally" transferred by Vivo-India to China to avoid payment of taxes in India.

At that time, the company said that it "firmly adheres to its ethical principles and remains dedicated to legal compliance." Vivo PMLA case: ED arrests four including MD of Lava International after raids The Managing Director of Lava International, Hariom Rai had recently told a court that though his company and vivo-India were in talks to launch a joint venture in India a decade ago, he had nothing to do with the Chinese firm or its representatives since 2014. Rai, has recently filed a bail petition in trial court citing medical grounds.