K’taka HC completes hearing on Xiaomi petition challenging ED order

The High Court of Karnataka has completed hearing on the petition by Xiaomi India challenging the Enforcement Directorate (ED) order seizing Rs 5,551.27 crore in its bank accounts. A single judge bench of the High Court of Justice S G Pandit completed the hearing on Thursday. The court heard the arguments by Additional Solicitor General M B Naragund on behalf of the ED and senior advocate S Ganeshan on behalf of Xiaomi. The ED had alleged that Xiaomi was illegally transferring money to three foreign companies; two in USA and one in China, in the name of royalty payments. It was alleged that these payments are in contravention of Foreign Exchange Management Act (FEMA) laws. PTI