India agency summons former Xiaomi head in investigation over foreign exchange laws
- In a probe that has been ongoing since at least February, India’s financial crime-fighting agency called in Xiaomi’s former India managing director
- The move signals widening scrutiny of the Chinese smartphone giant after its office was raided in December over alleged tax evasion
The Enforcement Directorate has been probing the company since at least February, and in recent weeks asked Manu Kumar Jain, Xiaomi’s former India managing director, to appear before its officers, the sources said.
Jain, now a global vice-president at Xiaomi based out of Dubai, was currently in India, the sources said, though the purpose of his visit was not clear.
Asked about the probe, a Xiaomi spokesperson said the company abides by all Indian laws and was “fully compliant with all the regulations”.
“We are cooperating with authorities with their ongoing investigation to ensure they have all the requisite information,” the statement said.
The actions signal widening scrutiny of the Chinese smartphone maker, whose India office was raided in December in a separate investigation over alleged income tax evasion. Some other Chinese smartphone markers were also raided at the time.
Jain did not respond to a request for comment. India’s Enforcement Directorate also did not respond, though the agency typically does not make details public while investigations are ongoing.