Vivo accused of evasion of custom duty of Rs 2217 crore, DRI sent show cause notice

Vivo Custom Duty: Directorate of Revenue Intelligence (DRI) had received information that Vivo, which is a Chinese mobile company, is bringing its goods from China to India without paying custom duty. During investigation, the DRI came to know that Vivo company has evaded custom duty of about Rs 2217 crore till now.

M/s Vivo India is a subsidiary company of Vivo Communication Technology with its headquarter in China. The company deals in manufacturing, assembling and wholesale trading of mobile handsets and its accessories.

Raids at many locations of Vivo India
According to DRI sources, when the search operation was carried out at several locations of Vivo India, it came to know that in what way a well-planned conspiracy was prepared to evade custom duty. In connection with this matter, the DRI recovered several important documents related to custom duty evasion from the offices of Vivo India. By evading custom duty in this manner, Vivo India made a profit of Rs 2217 crore to Vivo Communication Technology Corporate Limited.

How much duty has the customs department ordered to pay?
After the completion of the investigation, the Customs Department issued a notice to Vivo India under the Custom Act 1962, ordering it to pay custom duty of Rs 2217 crore. According to DRI, M/s Vivo India has paid Rs 60 crore out of this. Apart from this, DRI has also issued a notice to Chinese mobile company Oppo Mobile India Pvt Ltd for evading customs worth Rs 4403.88 crore.