India is investigating business practices at U.S. streaming giant Netflix’s local operations, including visa violations and allegations of racial discrimination, according to a government email sent to a former executive.
“This is about visa and tax irregularities regarding Netflix’s business practices in India,” wrote Deepak Yadav, an Indian official at the Foreigners Regional Registration Office (FRRO) of the Ministry of Home Affairs in New Delhi.
“We have received certain details about the company’s conduct, visa violations, illegal construction, tax evasion and other misconduct, including incidents of racial discrimination involved in the company’s operations in India,” he added.
Mehta said in an emailed statement that she is filing a lawsuit against Netflix in the United States, alleging wrongful termination and racial and gender discrimination, charges the company denies.
Mehta said she welcomed India’s investigation and wanted authorities to make the findings public, without elaborating on the charges the government had made.
Yadav declined to comment, saying he was not authorized to speak to the media. FRRO and India’s home ministry did not respond to Reuters queries.
A Netflix spokesperson said the company was “unaware of an ongoing Indian government investigation.”
The Indian official’s emails show Netflix has come under increasing scrutiny in India, where the company has about 10 million subscribers and considers it a growth market as it targets the country of 1.4 billion people. wealthy people.
Over the years, the US streaming giant has developed more local content featuring Bollywood actors.
It has also been frequently criticized in India for content considered insensitive by some users. This month, the company was forced to add a new disclaimer to an Indian series about plane hijackings after outrage on social media and the government over alleged Muslim hijackers being shown as Hindus.
Seeking documents, U.S. lawsuit
While Netflix is known to have faced tax demands from India since 2023 – a challenge – the broader investigation into allegations of visa compliance and racial discrimination has not been previously reported.
The Indian government email did not detail which agencies were studying the issue regarding Netflix. The FRRO works closely with the domestic intelligence agency, the Intelligence Directorate of the Interior Ministry, and is the main agency investigating foreigners’ visa compliance and permission to visit so-called “sensitive” areas.
Last year, India accused Chinese smartphone maker Vivo and its Indian subsidiary of violating visa regulations and visiting certain “sensitive” areas without permission. India has classified parts of certain states, including Jammu and Kashmir in the north and Sikkim in the east, as off-limits.
The FRRO also serves as a liaison with other government agencies on matters concerning foreigners.
Mehta worked in the company’s Los Angeles and Mumbai offices from April 2018 to April 2020, according to his LinkedIn profile.
The Indian government email asked her to provide “details/documents” as she was the company’s former legal director.
U.S. court documents show that in 2021, Mehta sued Netflix in the Los Angeles County Superior Court in California, accusing it of wrongful dismissal and racial and gender discrimination.
Netflix denied “each and every allegation” in a U.S. court and said in a statement that Mehta was fired for repeatedly using a company credit card to pay tens of thousands of dollars in personal expenses.
Mehta said she would “continue to fight for justice.” Her case is scheduled for a status hearing in Los Angeles on Monday.
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