India’s financial crimes agency said on Thursday that it has blocked 119 bank accounts related to vivo’s Indian operations and its affiliates that held 4.65 billion rupees (about 390 million yuan) as part of an investigation into suspected money laundering by vivo.
According to a Reuters report today, vivo has approached a court in New Delhi, India, seeking to reverse the Indian law enforcement agency’s decision to freeze its bank accounts. According to court documents, Vivo said the move was “illegal” and would harm the company’s business operations.
Vivo’s filing with the New Delhi High Court says the company will not be able to pay statutory dues and salaries because of the account freeze. vivo says it is cooperating with authorities and is committed to full compliance with Indian law. vivo’s court filing lists 10 bank accounts affected by the decision. The company says it will have to pay INR 28.26 billion (about RMB 2.396 billion) per month.
Techgoing has learned that previous sources said that on July 5, India’s Enforcement Directorate raided 48 of vivo’s office locations and 23 of its related entities nationwide, based on the Prevention of Money Laundering Act.
