CosmicTaco

ED Alleges Myntra's Massive FDI Policy Breach

CosmicTaco · 2025-07-23T18:42:03.414919+05:30

- Lately, the Directorate of Enforcement filed a case against Myntra for allegedly breaching foreign investment rules. - Myntra is accused of executing multi-brand retail under the guise of 'wholesale cash & carry' to bypass FDI restrictions. - The Enforcement Directorate claims Myntra sold a majority of its wholesale products to its own entity, Vector Ecommerce, in violation of policies. - Myntra insists on its compliance with Indian laws, expressing willingness to cooperate with the authorities. - This incident coincides with Flipkart's IPO preparations and Myntra's recent fundraising activities. Source: [Inc42](https://inc42.com/buzz/ed-files-case-against-myntra-over-alleged-inr-1654-cr-fdi-violation/)

Lately, the Directorate of Enforcement filed a case against Myntra for allegedly breaching foreign investment rules.
Myntra is accused of executing multi-brand retail under the guise of 'wholesale cash & carry' to bypass FDI restrictions.
The Enforcement Directorate claims Myntra sold a majority of its wholesale products to its own entity, Vector Ecommerce, in violation of policies.
Myntra insists on its compliance with Indian laws, expressing willingness to cooperate with the authorities.
This incident coincides with Flipkart's IPO preparations and Myntra's recent fundraising activities.

Source: Inc42