India continues its pressure on Chinese companies

India continues its pressure on Chinese companies

2022-09-18 0 By Huawei     GOOGLE NEWS    

India’s arrest of a man described as the “mastermind” behind China-linked shell companies is the latest sign of New Delhi’s escalating campaign of crackdown on mainland companies in recent months. The Ministry of Corporate Affairs said on Sunday that the suspect had appointed rogue executives to the boards of these scam businesses that were potentially involved in “financial crimes that harm the country’s financial security.”

His arrest came after several raids, including the Gurgaon offices of Jilian Consultants India Private Ltd, a wholly owned subsidiary of Jilian Hong Kong Ltd. According to Alex Capri, a research fellow at the Hinrich Foundation, this empowered push is part of India’s strategic separation from China.

People gather to check out Xiaomi’s newly launched products at an event in Bangalore, India. File photo: AP

“It is essential for long-term survival to move away from an opaque system where these front companies can operate and there are no sanctions against corruption, and instead be able to say that we follow the rules properly and have transparent standards. “The term investment climate that India is looking for,” he said. In August, India urged law enforcement to make a coordinated effort to investigate the financial situation of Chinese companies, sparking allegations of tax evasion and money laundering.

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