April 21, 2023
By Aditya
Kalra
A man walks past a logo of Xiaomi, a Chinese manufacturer of consumer electronics, outside a shop in Mumbai, India, May 11, 2022. REUTERS/Francis Mascarenhas
NEW DELHI, April 21 (Reuters) - An Indian court has rejected
Chinese phonemaker Xiaomi Corp's (1810.HK) petition
against the seizure of 55.51 billion rupees ($676 million), two sources
familiar with the matter told Reuters on Friday.
Xiaomi's assets in India were frozen last year by
the federal financial crime agency which alleged the company had made illegal
remittances to foreign entities by passing them off as royalty payments.
"We are studying
the matter and waiting for the written order," a Xiaomi spokesperson said
regarding the ruling by a court in Karnataka state, adding the company's
operations in India are compliant with local laws and regulations.
The company has
previously said its royalty payments were all legitimate and that it will
"continue to use all means to protect the reputation and interests".
Xiaomi has lost its spot as India's top choice for smartphones to
rival Samsung Electronics (005930.KS) as Indian consumers opt for improved features in the
world's second biggest market for the devices.
Chinese companies have
also struggled to do business in India since 2020 due to political tensions
following a border clash.
India has cited
security concerns in banning more than 300 Chinese apps since then, including
popular ones such as TikTok, and has tightened rules for Chinese companies
investing in India.
($1 = 82.0725 Indian
rupees)
Reporting by Tanvi
Mehta; Editing by Krishna N. Das
https://www.reuters.com
No comments:
Post a Comment