Xiaomi Under Scanner Over Fund Transfers, Investment Approvals
What Happened
Serious Fraud Investigation Office (SFIO) has sought approval from the Ministry of Corporate Affairs for a deeper investigation into Xiaomi India. The proposed probe would examine fund transfers and whether the company obtained mandatory approvals required under India's foreign investment regulations, which were tightened after 2020.
Key Takeaways
The move signals continued regulatory scrutiny of foreign-owned technology firms in India, particularly those with Chinese links. Xiaomi India said it has not received any notice or communication from SFIO and maintains that it fully complies with Indian laws. At this stage, the investigation proposal is awaiting government approval.