ED probing Bharti Walmart, Flipkart cases
New Delhi: The Government on Monday said it has referred Bharti Walmart and Flipkart Online Service’s alleged violation of FDI regulations to the Enforcement Directorate.
“Violation of FDI regulation is covered by the penal provisions of the Foreign Exchange Management Act (FEMA). The RBI has informed the matter related to Bharti Walmart/Cedar Support Services and FlipKart Online Services to Directorate of Enforcement for further investigation,” Anand Sharma, Commerce and Industry said in Lok Sabha.
Retail major Walmart had pumped in Rs 455.8 crore into a subsidiary of Bharti Ventures in 2010 via its Mauritius arm.
Reports said that Flipkart.com had allegedly circumvented FDI rules by creating complex structures. It had formed a structure over its backend firm Flipkart Online Services (FOS), which held the Flipkart brand till it was transferred to Flipkart India, another B2B entity, in late 2011. Both entities licensed the brand to B2C firm WS Retail.
Saddened by the current political situation of the country, actress-businesswoman Preity Zinta is thinking about joining politics, as she wants to be part of a movement which can bring a positive change in India's political system.
Date 22 hrs ago, Duration 1:23, Views 367