India is investigating US streaming giant Netflix over alleged visa violations, tax evasion, and racial discrimination in its local operations, according to a government email sent to a former Netflix executive, Nandini Mehta.
The July 20 email, was written by official Deepak Yadav from the Foreigners Regional Registration Office (FRRO) of the home ministry in New Delhi, as reported by Reuters.
The email outlines concerns regarding Netflix’s business practices, including visa violations, illegal structures, and incidents of racial discrimination. “We have received certain details… [about] the stated company’s conduct,” Yadav wrote, adding that the FRRO was looking into these allegations.
Mehta, who served as Netflix’s director of business and legal affairs for India before leaving in 2020, confirmed she is pursuing a lawsuit in the US against Netflix for alleged wrongful termination, racial, and gender discrimination, accusations that Netflix denies. In an email statement, Mehta said she welcomed the Indian investigation and hopes the findings are made public, though she did not elaborate on the specific allegations.
The investigation appears to be part of broader scrutiny of Netflix’s operations in India, where the streaming service has around 10 million users. India is a key growth market for the company, which has increased its focus on producing local content. However, Netflix has faced criticism in the country over some of its shows, which have sparked controversy for perceived cultural insensitivity.
Netflix, for its part, said it was “unaware of an investigation by the Indian government.” The company has also denied all allegations made by Mehta in her US lawsuit, claiming she was fired for misuse of her corporate credit card.
The government email also mentioned a request for documents related to Netflix’s operations from Mehta, who had worked in the company’s Los Angeles and Mumbai offices. The FRRO works closely with India’s Intelligence Bureau, and while it hasn’t specified which agencies are investigating Netflix, the scrutiny resembles past probes into foreign companies operating in sensitive regions in India.
Mehta’s lawsuit in the US is set for a status hearing on Monday in Los Angeles. She has vowed to “continue to fight for justice,” while Netflix continues to challenge her claims.
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