Global retailing giant Walmart’s India joint venture with Bharti Enterprises may have violated US anti-bribery laws and India’s foreign exchange rules.
The chief financial officer (CFO) and other employees of the JV have been suspended pending investigation into the US laws’ violation. Walmart’s $100m investment in Bharti’s domestic unit may be in violation of the exchange regulations.
FDI in retail was allowed in India in September after several delays, and yesterday resulted in the halting of proceedings on the first day of parliament’s winter session, by the opposition government. [Reuters]
Bharti Walmart's CFO is also the JV’s acting legal counsel and leads the company's five-member legal team. [WSJ]
NB: By reading the comments you agree that they are the personal views and opinions of readers, for which Legally India has no liability whatsoever. Because anonymous comments may be biased or unreliable, you agree that you will not allow any comment(s) to affect your estimation of any person(s) or organisation(s). If you believe a comment is inappropriate, please click 'Report to administrator' below the comment with your objection and we will review it as soon as practicable.