A government organisation has now summoned the former Head of Xiaomi India, Mr. Manu Kumar Jain for an investigation. The organisation named The Enforcement Directorate has been investigating the company for at least two months and has now asked Mr. Jain to abide by their investigation and meet the relevant officers to answer a few questions.
Xiaomi is a consumer electronics producer that produces and sells a whole host of electronic products like smartphones, earphones, laptops, tablets and even air purifiers. The company was set up back in 2010 and its headquarters is based in the capital of China – Beijing. The company specializes in top quality affordable smartphones and is therefore popular in regions with a high number of middle-class populations such as China, South Asia, and South East Asia.
Mr. Manu Kumar used to be the managing director Xiaomi’s operations in India but recently left that position to take up the role of global vice president and moved to the United Arab Emirates. He recently flew to India but it has not been revealed as to why he has paid a visit to the country. It is speculated that he is in the country solely to comply with the government and answer all relevant questions the officers throw at him.
A representative of the company was questioned about the happenings and he assured the company has always complied with all rules and regulations the government has imposed and will continue to do so. The company is working close with the government and their authorities and will be looking to complete this ordeal as quickly and smoothly as possible so they can get back to devoting their complete focus on daily operations and other plans.
The company’s head office India was even paid a visit by the government officials last year as the company was accused for evading taxes. Many smart phone firms that are Chinese based were also raided by government officials around the same time.
The reason for current investigations is yet to be revealed but The Enforcement Directorate has a track record of keeping their operations private until they close their cases.
But, according to official sources, the agency requested Xiaomi various documents which includes finance statements and other information related to the funding and investments of the company.
Currently, Xiaomi is at the apex of the smartphone industry of the country taking up just under a quarter of the total share.
