Vivo Money Laundering Case: What Is Delhi HC’s Latest Decision?

Vivo Money Laundering Case: What Is Delhi HC’s Latest Decision?

On Wednesday, the Delhi High Court accepted the petition of some companies to operate their bank accounts that were earlier frozen due to the suspected involvement in the Vivo money laundering case. The companies had been petitioning to use their bank accounts, which was now answered. But it does not mean that the HC might rule in favour of suspects. The decision on Vivo’s court case might be completely different and we need to   wait for it.

Vivo Money Laundering Case Latest Development

After considering the arguments made by the petitioners’ and the Enforcement Directorate’s (ED) attorneys, Justice Yashwant Varma announced his decision. He permitted the petitioner’s relief with the condition that they adhere to a number of requirements, including keeping the disputed amount in the bank account on the day the account was frozen. The judgement instructed the ED to grant the petitioner companies’ request to open bank accounts within 48 hours.

The Directorate will have the freedom to properly authenticate that all petitioners retain the account balances that were to the credit of their respective accounts before the Adjudicating Authority. This was stated in the Court’s order from August 8, 2022. Each petitioner must also provide the Enforcement Directorate with all information regarding any transfers that may be made every 48 hours from the concerned bank accounts.

Earlier, the ED highlighted the details of the money laundering case by Vivo. It mentioned that Vivo India’s 23 associated companies, including Grand Prospect International Communication Pvt Ltd (GPICPL), transferred enormous sums to the company. Out of the total sale proceeds of Rs. 1,25,185 crore they managed to send Rs. 62,476 crore, or approximately 50% of the total turnover, primarily to China. The ED mentioned in a statement that:

"These companies are found to have transferred huge amounts of funds to Vivo India. Further, out of the total sale proceeds of ₹1,25,185 crores, It then remitted ₹62,476 crores, almost 50 per cent of the turnover out of India, mainly to China."

However, it seems that the Delhi High Court still wanted to ease the matters a bit before things are proven in the eyes of law. Therefore, it opted to sanction the petitions by companies suspected of involvement in the Vivo money laundering case.

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Nitin Kapur

Nitin Kapur is an entrepreneur, investor, business advisor and speaker. If you wish to know about businesses and their position then there is no better analyst than him to help you with that.

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