India’s government is reportedly investigating the business practices of Netflix in the country, raising serious concerns about visa violations, tax evasion, and racial discrimination. The investigation, which came to light through a government email sent to a former Netflix executive, underscores the growing scrutiny faced by the U.S. streaming giant in one of its key markets.
Visa and Discrimination Concerns
The probe was revealed in an email from India’s Foreigners Regional Registration Office (FRRO), dated July 20. Deepak Yadav, an official from the home ministry, addressed the message to Nandini Mehta, Netflix’s former director of business and legal affairs for India. Mehta, who left Netflix in 2020, has since pursued legal action against the company in the U.S., alleging wrongful termination and racial and gender discrimination.
Yadav’s email highlighted various issues, including concerns over Netflix’s visa compliance and tax practices. It also pointed to allegations of racial discrimination within the company’s Indian operations. While the email was a preliminary communication seeking further documentation, it signals a broader inquiry into the streaming giant’s business conduct in the country.
Netflix’s Response and Legal Battle
Netflix has denied any knowledge of an ongoing investigation by the Indian government. In a statement to Reuters, the company asserted that they were unaware of the probe. Meanwhile, Mehta, who is embroiled in a legal battle with Netflix in the U.S., has welcomed the Indian investigation, hoping that the findings will be made public.
Mehta’s lawsuit, filed in Los Angeles County Superior Court, claims she was wrongfully terminated from Netflix due to racial and gender discrimination. Netflix, however, denies these accusations, citing misuse of her corporate credit card for personal expenses as the reason for her dismissal. The lawsuit is ongoing, with a status hearing scheduled in the coming days.
Beyond Tax Evasion
While Netflix has been challenging a tax demand from India since 2023, the recent revelations suggest a broader investigation encompassing visa violations and allegations of discrimination. The FRRO, which handles visa compliance and foreigner-related issues, is working closely with other government agencies, including India’s Intelligence Bureau, to scrutinize Netflix’s practices.
India has previously taken action against companies violating visa rules. Last year, Chinese smartphone manufacturer Vivo faced similar allegations for visiting restricted areas without proper permissions. Netflix now finds itself in a similar situation, as the Indian government examines whether the company breached visa protocols.
A Market Under Pressure
With approximately 10 million users in India, Netflix views the country as a key growth market. The platform has invested heavily in local content, often featuring Bollywood stars, to attract affluent viewers. However, Netflix has also encountered backlash over its content, which some users in India have deemed culturally insensitive. For instance, the company recently added disclaimers to an Indian series following public outrage over its depiction of hijackers.
Despite Netflix’s ambitions in India, the ongoing investigation could present a significant hurdle. As the company navigates legal battles on multiple fronts, the outcome of India’s probe may have far-reaching consequences for its operations in the region.
Seeking Accountability
For Nandini Mehta, the legal journey continues. Her case against Netflix has drawn attention not only to the alleged racial and gender discrimination within the company but also to the broader question of corporate accountability. As her lawsuit proceeds, Mehta remains committed to her fight for justice, with the hope that both the U.S. and Indian investigations will uncover the truth.
The Indian government’s findings could shed new light on the internal practices of one of the world’s largest streaming platforms, setting a precedent for how international companies operate within the country.
