Oppo now accused of tax EVASION of Rs. 4389 Crores by Indian Govt
After a flurry of raids against Chinese smartphone companies like Xiaomi and Vivo, the Indian Government agencies have now gone after Oppo and unearthed a massive customs duty evasion. The Directorate of Revenue Intelligence (DRI) after conducting raids has found that the company has evaded customs duty worth Rs. 4,389 Crores, and is now asking the company to pay the same. Another report says that Oppo officials have approved of the error and has already made a pre-payment of Rs. 4.5 billion.
The Directorate of Revenue Intelligence (DRI) has searched the offices of Guangdong Oppo Mobile Telecommunications Corp.’s local unit and questioned the company’s management, said India’s Finance Ministry on Wednesday. According to a report from Bloomberg, it is said that agency found found “incriminating evidence indicating willful mis-declaration of imported tools and components used to make phones.”
The report also says that Oppo also failed to include the licensing fees paid to overseas companies while calculating the value of goods imported. Unlike the previous cases with Xiaomi and Vivo, Oppo management and suppliers have acknowledged the errors and the company has been confirmed to make a pre-payment of Rs. 4.5 billion, says the ministry. Oppo is yet to make an official announcement on this front.
“During the course of investigation, searches were conducted by DRI at the office premises of Oppo India and residences of its key management employees, which led to the recovery of incriminating evidence indicating wilful mis-declaration in the description of certain items imported by Oppo India for use in the manufacture of mobile phones,” said the finance ministry said on Wednesday.
Oppo also declared that it pays royalty and license
Read more on tech.hindustantimes.com
