SFIO recommends Xiaomi India probe over FDI, fund-flow and online-sales arrangements
India’s Serious Fraud Investigation Office has reportedly recommended a Ministry of Corporate Affairs investigation into Xiaomi India. The review could examine foreign-investment compliance, fund movements and whether the company controlled online sellers or used exclusive launches in ways that breached FDI policy.
What happened
SFIO has recommended a probe into Xiaomi India over foreign-investment compliance, fund movements and e-commerce sales arrangements. The proposed investigation
Key facts
- $584 million Indian bank assets freeze
- 13% India smartphone market share
- 19% previous market share
- $2.52 billion India revenue in 2025
- 40% revenue decline versus three years earlier
- 21-point investigation framework
Why this matters
Any partnership, distribution or transaction involving Xiaomi India now warrants enhanced regulatory diligence, especially around FDI structures, seller independence and cross-border fund movements.