ByteDance: Bank accounts freezing in India is a threat
ByteDance: Bank accounts freezing in India is a threat

According to Reuters, a Chinese company, ByteDance, told the Indian court that freezing the government's bank account was a threat and was illegal.

After New Delhi confirmed the ban on popular video app TikTok, ByteDance reduced the Indian workforce in January, which was implemented after a border dispute between India and China last year.

Beijing has repeatedly criticized India for banning TikTok and other Chinese apps.

In mid-March, India's tax intelligence service HSBC and Citibank Mumbai ordered a freeze on ByteDance India's bank accounts while investigating some of the agency's financial transactions.

ByteDance has appealed the freezing of these four accounts by the Mumbai court.

No ByteDance India employee got paid in March due to account suspension. The company told the court that the company, including outside employees, has 1,335 employees.

ByteDance has informed the Mumbai High Court that the competent authorities do not have physical evidence of the company's actions and have not provided any notice before the act was required under Indian law.

In a 209-page court document filed on March 25, ByteDance argued that blocking accounts during the investigation was an unnecessary difficulty.

Last year, ByteDance's tax department made it clear that there is reason to believe excessive tax cuts have been called for.

The court refused to provide ByteDance with immediate assistance in a short hearing.

The investigation focused on potential tax evasion related to online advertising and other financial transactions between ByteDance India and its Singapore parent company TikTok.

BiteDance told the court: Among its employees in India are 800 people on the Trust and Security team that support activities such as overseeing foreign content.

She added that she had a strong business plan in India and had not considered liquidating it, and she asked the court to withdraw the plan to freeze the account.

The tax office began investigating the company in July, reviewing the company's administrative documents, and holding meetings and interviews with at least three executives.

Authorities also required ByteDance to provide documents, including invoices and signed agreements with some clients, and ByteDance representatives appeared several times in front of tax officials and provided the documents.

TikTok was one of the most popular video apps in India before it was banned and it is currently under review worldwide.

Under the leadership of former President Donald Trump, the United States has claimed that enforcement of the law raises national security concerns.

New President Obama (Joe Biden) has canceled a government lawsuit that could lead to an effective ban on TikTok use in the United States.

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