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Indian Agency Accuses Vivo of $280 Million Tax Evasion

MUMBAI, Aug 3 (Reuters) - An Indian government agency has accused Chinese-owned Vivo Mobile of evading taxes worth 22.1 billion Indian rupees ($280 million), it said in a statement.

The tax evasion allegation is India's second this week against a Chinese phone-maker.

India's Directorate of Revenue Intelligence (DRI) detected customs duty evasion, following which it has issued a show cause notice to Vivo India, the statement said.

A show cause notice is a formal demand for an accused party to justify themselves.

The DRI's investigation led to the finding of "incriminating evidence indicating wilful mis-declaration in the description of certain items imported," the statement said.

Vivo India did not immediately respond to a Reuters request for comment.

Last month, Reuters reported India's financial crime-fighting agency, the Enforcement Directorate, raided Vivo.

On Tuesday, the DRI issued a show-cause notice to Oppo, another Chinese phone-maker, demanding duty of 44 billion Indian rupees ($556.57 million).

($1 = 79.1660 Indian rupees)

Reporting by M. Sriram; editing by Jason Neely and Barbara Lewis

Source: Reuters

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