FILE PHOTO: Small toy shopping cart is seen in front of displayed Flipkart logo in this illustration taken, July 30, 2021. REUTERS/Dado Ruvic/Illustration
NEW DELHI (Reuters) -India's financial-crime agency has asked Walmart's Flipkart and its founders to explain why they shouldn't face a penalty of $1.35 billion for alleged violation of foreign investment laws, three sources and an agency official told Reuters.
The Enforcement Directorate agency has been investigating e-commerce giants Flipkart and Amazon.com Inc for years for allegedly bypassing foreign investment laws that strictly regulate multi-brand retail and restrict such companies to operating a marketplace for sellers.
