Vivo Money Laundering Case: ED Gets Custody Of Three Top Executives, Next Hearing On 26 December In Delhi Court

A Delhi court has granted three top executives, including Vivo India interim CEO Hong Xuquan, Vivo CFO Harinder Dahiya, and consultant Hemant Munjal, a three-day Enforcement Directorate (ED) custody in a money laundering case involving the Chinese smartphone maker Vivo.

The trio will appear before the court on 26 December following the expiration of their three-day custody as reported by The New Indian Express.

These arrests follow the 10 October detention of Lava International MD Hari Om Rai, Chinese national Guangwen alias Andrew Kuang, and Chartered Accountants Nitin Garg and Rajan Malik in the same case.

Expressing concern over the arrests, a Vivo spokesperson stated, "We are deeply alarmed by the current action of the authorities. The recent arrests demonstrate continued harassment and as such induce an environment of uncertainty amongst the wider industry landscape. We are resolute in using all legal avenues to address and challenge these accusations."

On 20 December, the court acknowledged the charge sheet filed by the ED against the four accused. Special Judge Kiran Gupta summoned the accused, currently in judicial custody, for 19 February, 2024.

The Delhi High Court dismissed habeas corpus petitions related to the case, ruling that the accused were lawfully in custody.

The ED's action came after searches at the premises of the accused yielded cash amounting to Rs 10 lakh.

The agency had conducted searches at 48 locations across the country associated with Vivo Mobiles India Private Ltd, claiming to have uncovered a significant money laundering racket involving Chinese nationals and multiple Indian firms.

Vivo Mobiles India Pvt Ltd, a subsidiary of Hong Kong-based Multi Accord Ltd, was incorporated in 2014, while GPICPL, another associated company, was registered in 2014.

The PMLA investigation was initiated in 2022 based on an FIR filed by Delhi Police against GPICPL.