As the Directorate of Revenue Intelligence (DRI) unearthed alleged customs duty evasion of nearly Rs 4,389 crore by OPPO India, the smartphone maker on Wednesday said it will take appropriate steps against the DRI show cause notice, including “remedies provided under the law”.
The DRI said in its statement that it detected that Oppo Mobiles India Private Ltd has evaded customs duty of around Rs 4,389 crore.
OPPO India told IANS that it has a different view on the charges mentioned in the show cause notice.
“We believe it’s an industry-wide issue many corporates are working on. OPPO India is reviewing the show cause notice received from DRI, and we are going to reply to the notice, presenting our side, and will be working further with the related government departments,” the company said.
OPPO India said that it is a responsible corporate and believes in a prudent corporate governance framework.
“OPPO India will take appropriate steps as may be needed in this regard including any remedies provided under the law,” it added.
OPPO is the third Chinese smartphone maker in India, after Vivo and Xiaomi, that have come under the government’s scanner for various charges, like the Prevention of Money Laundering Act (PMLA) in the case of Vivo and the Foreign Exchange Management Act (FEMA) violations in the case of Xiaomi.
The DRI said that during its investigation pertaining to Oppo Mobiles India Private Ltd, a subsidiary company of Guangdong Oppo Mobile Telecommunications Corporation Ltd, China, “we have detected customs duty evasion of around Rs 4,389 crore”.
“OPPO India is engaged in the business of manufacturing, assembling, wholesale trading, distribution of mobile handsets and accessories thereof, across India. OPPO India deals in various brands of mobile phones, including Oppo, OnePlus and Realme,” it said.
Meanwhile, the Delhi High Court on Wednesday allowed Vivo to operate its bank accounts on the condition of furnishing a bank guarantee of Rs 950 crore and maintaining Rs 250 crore in its accounts.
The court also directed the Chinese firm to submit details about its bank activities and remittances to the Enforcement Directorate (ED) and posted the matter for further hearing on July 28.