Vivo India served notice for customs duty evasion worth Rs 2,217 crore
India Today
The Directorate of Revenue Intelligence detected a customs duty evasion of around Rs 2,217 crore by Vivo India, a Finance Ministry statement issued on Wednesday stated.
The Directorate of Revenue Intelligence (DRI) detected a customs duty evasion of around Rs 2,217 crore by Vivo India, a subsidiary of China-based Vivo Communication Technology, a Finance Ministry statement issued on Wednesday said.
The company is engaged in the business of manufacturing, assembling, wholesale trading as well as distribution of mobile handsets and accessories thereof.
During the investigation, searches were conducted by the DRI officers at the factory premises of Vivo India, which led to the recovery of incriminating evidence indicating wilful misdeclaration in the description of certain items imported by it for use in the manufacture of mobile phones.
This misdeclaration resulted in wrongful availment of ineligible duty exemption benefits by Vivo India, amounting to Rs 2,217 crores, the statement read.
After the investigation was completed, a show cause was issued to Vivo India demanding Customs duty amounting to Rs. 2,217 crores, under the provisions of the Customs Act, 1962.
So far, an amount of Rs 60 crores has been voluntarily deposited by Vivo India towards the discharge of their differential duty liability.
Recently, in another set of investigations conducted by DRI, show cause notices demanding duty of Rs. 4,403.88 crores were issued to Oppo Mobiles India Private Limited.
