Xiaomi's accusations of coercion are baseless, according to the enforcement directorate

Xiaomi's accusations of coercion are baseless, according to the enforcement directorate ...

The Enforcement Directorate dismissed on Saturday the allegations that Xiaomi India''s officials, the China-owned subsidiary, were formally consigned under caution, claiming that the charges were an apresthought.

During an interview with ED investigators in Bengaluru, the federal agency was responding to several news reports that Xiaomi alleged in a recent filing before the Karnataka High Court.

The Enforcement Directorate (ED) issued a statement saying it was "a professional organization with excellent work ethics" and there was no pressure or threat to the employees of the business at any time.

"The statements made by Xiaomi India officials under FEMA voluntarily in the most favorable environment on various occasions," the company said.

The statements were dismissed by the company on the basis of documents and information that was received during the course of the investigation.

"Their statements corroborate with the written replies sent to the Department of Defence and the materials on the record," said the agency.

The development comes as ED approved a warrant on April 29 to confiscate Xiaomi India''s funds worth over Rs. 5,551 crore due to the accused violation of the Indian Foreign Exchange Act (Foreign Exchange Management Act).

This ED order was pushed down by the Karnataka High Court earlier this week.

The company added that the statement of Xiaomi global vice president Manu Kumar Jain was recorded on four occasions, including on April 13, April 14, April 21, and April 26, whereas the statement of CFO Sameer B S Rao was also recorded on six occasions.

Rao''s statements were recorded on March 25, April 14, April 19, April 21, April 22, and April 26, according to reports.

"Totusi, no complaint was brought by the administration at any time during the recording of statements at various occasions." "Last statement of the officials of the company was recorded on 26.04.2022 and the seizure order was passed on 29.04.2022. It appears that the claim now made after the completion of substantial time is an afterthought."

The company claims that Xiaomi is "baseless and far from the facts." Xiaomi is a trader and distributor of mobile phones in the United States under the brand name MI.