A court here Tuesday sent four persons, including the managing director of Lava International mobile company and a Chinese national, to three-day Enforcement Directorate custody in a money-laundering case against Chinese smartphone-maker Vivo.
Additional Sessions Judge Devender Kumar Jangala passed the order on an application moved by the ED, which arrested the four earlier in the day.
They four arrested were identified as Hari Om Rai, the MD of Lava International company, Chinese national Guangwen alias Andrew Kuang, and Chartered Accountants Nitin Garg and Rajan Malik.
“I am of the considered opinion that the custody remand of the accused persons Hari Om Rai, Nitin Garg, Rajan Malik and Guangwen Kuang is necessary. Accused persons are accordingly remanded to ED custody till October 13,” the judge said.
The application was opposed by Advocate Nitesh Rana, appearing for the accused, who claimed the allegation were false and that the ED lacked evidence.
The four accused were taken into custody under the provisions of the Prevention of Money Laundering Act (PMLA).
The agency had raided the company and its linked persons in July last year, claiming to have busted a major money laundering racket involving Chinese nationals and multiple Indian companies.
The ED had then alleged that a whopping Rs 62,476 crore was “illegally” transferred by Vivo to China in order to avoid payment of taxes in India.
