- The Delhi High Court has allowed
Vivo to operate its bank accounts in the country. - The Enforcement Directorate had blocked Vivo’s 119 accounts as part of its investigation against Vivo.
- The Delhi High Court has ordered Vivo to furnish a bank guarantee of ₹950 crore and maintain a bank balance of ₹251 crore.
The ED had claimed that Vivo had transferred ₹62,476 crore to its parent company in China over a five-year period to avoid paying taxes in the country. The agency had also accused the company of violating the Prevention of Money Laundering Act (PMLA).
As part of its investigation, ED had blocked 119 accounts containing ₹465 crore. Soon after this, Vivo approached the Delhi High Court, challenging the freezing of its bank accounts under PMLA.
"Monthly payments of around ₹2,826 crore have to be made towards statutory dues, salaries, rent, and monies for daily business operations. Due to the freezing of the bank accounts, the petitioner will be unable to honor its aforesaid obligations not only towards various statutory authorities but also towards its employees and customers," Vivo had said in its petition.
The Delhi High Court today allowed Vivo to operate its bank accounts in the country and asked the company to furnish a bank guarantee of ₹950 crore. Further, the court also ordered the company to maintain a balance of ₹251 crore.
SEE ALSO:
Vivo's offices caught with 2 kilo gold bars after sending ₹62,000 crore back to China – all you need to know on the ED probe
Vivo reportedly transferred nearly $8 billion to its parent company in China
Chinese smartphone maker Huawei comes under the IT department’s scanner over tax evasion