Karnataka HC reserves judgment on Xiaomi plea challenging ED’s seizure

Karnataka High Court has reserved its judgment in a petition by Chinese firm Xiaomi against the seizure of Rs 5,551.27 crore from its bank accounts by the Enforcement Directorate (ED).

The Chinese technology company is facing charges of violations of the provisions of the Foreign Exchange Management Act. A bench headed by Justice S.G. Pandit reserved the order on Wednesday for the verdict.

Xiomi was represented by senior counsels S. Ganeshan and Sajan Poovaiah. Additional Solicitor General M.B. Nargund appeared for the central government and the ED.

Counsels for Xiaomi India had argued that the firm was being targetted as it is a Chinese company and other companies are allowed to make payments of technology royalty.