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ED probing if Amazon, Flipkart violated provisions of foreign exchange

The matter is scheduled to come up for hearing before a bench of Chief Justice Rajendra Menon and Justice V K Rao on November 19

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The Enforcement Directorate has told the Delhi High Court that it was investigating whether e-commerce giants Amazon and Flipkart have violated provisions of foreign exchange law. The ED's response came on a PIL which has alleged that the e-commerce giants were violating foreign direct investment (FDI) norms. The matter is scheduled to come up for hearing before a bench of Chief Justice Rajendra Menon and Justice V K Rao on November 19.

The court had earlier sought response of the Centre, Amazon and Flipkart to the plea which has sought a probe into the alleged FDI violations. The ED, in its reply filed through central government standing counsel Amit Mahajan, said the "department has already registered and initiated investigation under the provisions of Foreign Exchange Management Act (FEMA) against the two companies to ascertain whether they have been contravening any provisions of FEMA or contravening any rule, regulations, notification, direction or order issued in exercise of the powers under FEMA...." It also sought dismissal of the petition.

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