<h1>Xiaomi India Faces Customs Duty Evasion Probe Over Unpaid Royalties; Rs. 653 Crore Owed for 2017-2020 Period.</h1> M/s Xiaomi Technology India Private Limited has been investigated by the Directorate of Revenue Intelligence (DRI) for evading customs duty amounting to Rs. 653 crore. The investigation revealed that Xiaomi India and its contract manufacturers were not including royalty and license fees paid to Qualcomm USA and Beijing Xiaomi Mobile Software Co. Ltd. in the transaction value of imported goods, violating the Customs Act, 1962. These fees were related to the MI brand mobile phones, which were either imported or assembled in India. Consequently, three show cause notices have been issued to Xiaomi India for duty recovery for the period from April 2017 to June 2020.