CAIT alleges FDI policy violations by Metro; German retailer denies charge

Traders’ body CAIT on Thursday accused Metro AG of fund diversion and violating FDI regulations in India, a charge which the German cash-and-carry major rejected as “false and malicious”. The Confederation of All India Traders (CAIT) raised serious objections over the business practices of Metro AG’s Indian subsidiary Metro Cash & Carry.

Metro Cash & Carry India currently operates 31 stores in the country under the brand Metro Wholesale.