India seizes US$725 mil from China's Xiaomi over 'illegal' remittances

Guests gather to check out Xiaomi's newly launched products at an event in Bangalore, India, Tuesday, Sept. 17, 2019. Indian authorities on Saturday, April 30, 2022, seized US$725 million from Chinese smartphone company Xiaomi after an investigation found it had broken the country's foreign exchange laws by making illegal remittances abroad, officials said. - AP

NEW DELHI, May 1, 2022 (AFP): India seized $725 million from the local bank accounts of Xiaomi after a probe found the Chinese smartphone giant unlawfully sent money abroad in the guise of royalty payments, authorities said Saturday.

India's financial crime investigations agency began investigating the company in February and said it seized the money from the firm's local arm after discovering it had made remittances to three foreign-based entities.