CAIT urges government to probe Chinese investments in Indian startups
The traders’ body shared a list of 141 prominent Indian startups that have significant Chinese investments
The Confederation of All India Traders (CAIT) has urge the central government to order an investigation into Chinese investments in Indian startups to know their control in these firms.
CAIT shared a list of 141 prominent Indian startups in a letter to Commerce and Industry Minister Piyush Goyal claiming that they have significant Chinese investments, said a report by Business Standard.
The listed Indian firms relate to sectors including hospitality, food delivery, IT, logistics, payment applications, e-commerce travel, transport, pharmaceuticals, insurance, share market, healthcare, eye care, play applications, and others as per a PTI report quoted in Business Standard.
"It looks like a planned strategy by various Chinese companies to acquire vital data of Indian people and an exercise in the direction to dominate various Indian economic centres by virtue of their investments. Therefore, an immediate direction for an in-depth investigation into the working and business module of Indian startups covering the above mentioned concerns is all the more necessary," the report quoted CAIT’s letter.
The letter further suggested that any future overseas investment should go through the government route and not through an automatic route as per the report.