Delhi High Court Upholds Custody of Chinese National in Vivo Money Laundering Case
The Delhi High Court has dismissed a petition by Chinese national Guangwen alias Andrew Kuang, challenging the trial court order of remand in a money laundering case against Chinese smartphone maker Vivo. The court observed that Kuang, an office bearer of Vivo Mobile India, was involved in the incorporation of companies throughout the country for acquiring and siphoning off proceeds of crime.
In a recent development, the Delhi High Court has upheld the trial court’s decision to send Chinese national Guangwen alias Andrew Kuang to three-day custody of the Enforcement Directorate (ED) in a money laundering case against Vivo Mobile India. Justice Swarana Kanta Sharma, in an order released on Saturday, dismissed Kuang’s petition challenging the trial court’s order of remand. The court noted that Kuang, who is an office bearer of Vivo Mobile India, was one of the main conspirators involved in the incorporation of companies across the country for acquiring and siphoning off proceeds of crime.
The court’s decision came after Kuang argued that his arrest was carried out in a malafide manner and against the mandate of the Prevention of Money Laundering Act (PMLA), and that no case was made out against him. However, the court rejected these objections, stating that the remand application clearly mentioned that Kuang was guilty of the offence of money laundering based on the investigation carried out so far and the material collected. The court also highlighted that the investigating officer had concluded that Kuang was the prime conspirator in the formation of these companies, through which the proceeds of crime were acquired and later siphoned off by Vivo India.
The trial court had initially sent four people, including Kuang, to three-day ED custody in the case. The agency had raided Vivo and its linked people in July last year, claiming to have busted a major money laundering racket involving Chinese nationals and multiple Indian companies. The ED had alleged that a staggering amount of Rs 62,476 crore was illegally transferred by Vivo to China in order to avoid payment of taxes in India.
This decision by the Delhi High Court is significant in the ongoing investigation into money laundering allegations against Vivo Mobile India. It reaffirms the trial court’s order and allows the ED to continue its custody of Kuang for further investigation. The case highlights the need for strict enforcement of laws and regulations to prevent money laundering and illicit financial activities. It also serves as a reminder of the importance of international cooperation in tackling cross-border financial crimes. As the investigation progresses, it will be crucial to ensure a fair and transparent legal process while holding those involved accountable for their actions.
In conclusion, the Delhi High Court’s decision to uphold the custody of the Chinese national in the Vivo money laundering case sends a strong message about the commitment to combating financial crimes. This case serves as a reminder that no one is above the law, regardless of their position or nationality. It also underscores the importance of international cooperation in addressing money laundering and illicit financial activities. As the investigation continues, it is crucial to ensure a fair and transparent legal process to maintain public trust and confidence in the justice system.
