A pain in neck for authorities, here’s how Chinese firms scam Indians

A recent case has again highlighted how a large number of Chinese firms in India use dummy Indians to send thousands of crores of rupees back to China, the Economic Times (ET) reported.

Reportedly, these Chinese-owned firms make money through various kinds of scams and also regular businesses. One such case is of Oda Class, a successful Bengaluru-based ed-tech startup. This company is a Chinese-owned firm and the Enforcement Directorate (ED) is now investigating it under the Foreign Exchange Management Act (FEMA) for remitting money back to China.

According to the ED, Oda Class remitted around Rs 82 crore to China in the name of marketing expenses.