Xiaomi's challenge to FEMA Rule 4(3) opinion formation rejected, unauthorized royalty payments case proceeds to adjudication

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....HC upheld the Adjudicating Authority's opinion formation under Rule 4(3) of FEMA Rules against M/s. Xiaomi Technology India Private Limited regarding unauthorized royalty payments to group entities and Qualcomm without RBI approval. The court declined to interfere with the opinion formation stage, holding that strong suspicion suffices for proceeding to adjudication, and detailed reasoning is not mandatorily required at this preliminary stage. However, HC directed respondents to furnish complete investigation records including non-relied documents and missing pages to enable effective defense during adjudication proceedings under Rule 4(4). The writ petitions were disposed of with directions for document disclosure while allowing adjudication to proceed.....