Saturday, May 21, 2022

ਵਾਹਿਗੁਰੂ

spot_img





Karnataka HC permits Xiaomi India to take overdrafts, make payments

Bengaluru, May 13, 2022- In a major relief to major tech giant Xiaomi India, the Karnataka High Court has permitted it to take overdrafts from banks and make payments. However, the court has excluded the payment of technology royalty.

Vacation Judge Justice S. Sunil Dutt Yadav on Thursday also extended the interim order till May 23 and stated that the matter is now between the banks and the petitioner company.

The court had given conditional stay on the order given by the Enforcement Directorate (ED) on April 29 to seize a whopping Rs 5,513.3 crore amount. The ED has taken the step after invoking the Foreign Exchange Management Act, 1999.

Senior advocate S. Ganeshan argued that Xiaomi India was being targeted as it is a Chinese company and other companies are allowed to make payments of technology royalty. Seeking clarification on the earlier interim order on May 5, he argued that banks are not allowing Xiaomi to make remittances in foreign exchange for imports following the court order.

He explained that the company is required to make payments for foreign companies in connection with manufacturing and marketing smartphones.

Contesting this Additional Solicitor General M.B. Nargund said that the authorities have no complaints if Xiaomi is agreeable to keep the seized amount in the bank and use the remaining amount.

He brought to the notice of the court that on April 24 and 29, before the ED passed the order to seize Xiaomi’s bank accounts, there was a transfer of around Rs 1,500 crore from the company’s bank accounts as per the available information.

However, Xiaomi is maintaining that royalty payments made to three companies abroad would not violate the FEMA Act. The company further maintained that the I-T department itself had allowed it as a value added activity.  (Agency)

Subscribe to YesPunjab Telegram Channel & receive important news updates

- Advertisement -

Yes Punjab - TOP STORIES

Punjab News

Sikh News

Transfers, Postings, Promotions

- Advertisement -spot_img

Stay Connected

20,323FansLike
114,296FollowersFollow

ENTERTAINMENT

National

GLOBAL

OPINION

Musk wants to investigate bots before Twitter deal – by Narvijay Yadav

The blue bird of Twitter is in trouble once again. The question has arisen whether Tesla CEO Elon Musk will confirm the deal or...

Fault lines widening amongst Indian Muslim religious leaders – by Asad Mirza

New Delhi, May 16, 2022- Recent outreach activities by Muslim leaders across India relays very disturbing and hopeless signs, instead of formulating a strategy...

Growing heat, vanishing wheat, shrinking size – by Narvijay Yadav

When I bought a packet of sandwich bread in the morning, the vendor said that the ‘price has increased’. Then I saw news in...

SPORTS

Health & Fitness

Cold virus caused 100,000 deaths worldwide in kids in 2019: Lancet

London, May 20, 2022- Acute lower respiratory infection caused by Respiratory Syncytial Virus (RSV) was responsible for more than 100,000 deaths in children under five across the globe in 2019, according to a study published in The Lancet. The study is the first to examine RSV disease burden in narrow age brackets, reporting that there were over 45,000 deaths in...

Gadgets & Tech