Notice to Oppo for Rs 4,389 cr duty evasion

NEW DELHI: Chinese phone maker Oppo’s India unit has been slapped with a notice for alleged Rs 4,389 crore import duty evasion, the Finance Ministry said on Wednesday.

A show-cause notice has been slapped on Oppo India on July 8 after recovery of documents during searches on its premises that indicated wilful misdeclaration in the description of some imports and remittance of royalty and license fee to various MNCs, including those based in China.

During an investigation of Oppo Mobiles India Pvt Ltd, a subsidiary of Guangdong Oppo Mobile Telecommunications Corporation Ltd, the DRI has detected Customs duty evasion of around Rs 4,389 crore, the ministry said in a statement.

During the investigation, searches were conducted by the DRI at the office premises of Oppo India and residences of its key management employees, which led to the recovery of “incriminating evidence, indicating wilful misdeclaration in the description of certain items imported for use in the manufacture of mobile phones”.