KOLKATA: Indian authorities have reportedly blocked bank accounts of ByteDance, the parent company of TikTok. The Chinese tech company has moved to court asking to quash the directive as it fears that the decision will hit Indian operations hard.

According to a Reuters report, at least two bank accounts held by ByteDance have been frozen due to alleged tax evasion. Quoting sources, the report mentioned that ByteDance India’s accounts in Citibank and HSBC Bank were ordered to be blocked in mid-March.

Moreover, the authorities also directed the abovementioned banks to stop ByteDance India from withdrawing funds from any other bank accounts linked to its tax identification number. The Bombay high court has listed the case between ByteDance and the Indian government for hearing on Wednesday.

“At ByteDance, we are committed to abiding by local laws and regulations. While we disagree with the decision of the tax authority in this matter, we will extend our full cooperation to the government," ByteDance said in a statement as quoted by several reports.

In January 2021, ByteDance decided to cut down its Indian workforce amid the uncertainty over its biggest business TikTok’s future in India. Following the political conflict between India and China, the Centre imposed a ban on a number of Chinese apps including short-video app TikTok last June.