Indian court allows entities related to Vivo to operate bank accounts with condition
The Delhi High Court Monday granted permission to 14 entities, which the Enforcement Directorate (ED) claims are connected to Chinese smartphone maker Vivo, to operate their frozen bank accounts subject to maintaining the balance which stood in the accounts as on the date of agency's search in a money laundering probe.
The high court said these entities shall also give details to ED about their remittances made from the frozen bank accounts after every 48 hours.
Justice Yashwant Varma said subject to the petitioner companies maintaining a balance as was available on the day of freezing the individual bank accounts, the debit freeze order of ED can be modified.
The high court said it shall be open to the probe agency to verify that balances are maintained as they stood on the date of search.
Earlier on July 13, the high court had allowed Vivo to operate its various bank accounts frozen by the ED in connection with the money laundering probe subject to furnishing of a bank guarantee of ₹950 crore with the agency.
As ED had contended that the proceeds of crime with respect to Vivo, at that time, was quantified at ₹1,200 crore, the high court had also asked the company to maintain a balance of ₹251 crore in the bank accounts, which was there at the time of freezing of the accounts, and it shall not be used till further orders.
During Monday's hearing, the 14 entities challenged the debit freeze orders passed by the ED which has claimed that these companies are the agents of Vivo.
The entities' counsel claimed they are not at all related to Vivo and they only purchase goods from the company and sell it further.
ED's counsel contended these entities have assailed the order after expiry of 30 days and this batch of
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