US multinational retail corporation Walmart has halted opening new outlets in India pending an anti-bribery probe into company operations, according to Indian business newspaper The Economic Times.
The retailer had intended to open seven Bharti Walmort stores across India between November last year and this March in a joint venture with Bharti Enterprises.
The Economic Times reports that Bharti Walmart began enlisting members for its new stores in March last year with the intention of these stores commencing operations at the end of 2012.
The joint business enterprise had also hired a minimum of 100 staff in each location to work in the stores a year in advance, some of whom have now reportedly been asked to relocate to other areas of the country.
Insiders said that plans were cancelled only weeks before the scheduled openings because of the ongoing investigations.
Despite the probe, Walmart have maintained that their presence in India has brought substantial benefit to the country.
In late February, Walmart Asia’s president and chief executive officer Scott Price espoused the retailer’s role in creating jobs, expanding business opportunities, fulfilling consumer needs and encouraging community development in India.
The Indian minister of state for commerce and industry has announced that the government-appointed committee investigating alleged corruption charges against Walmart in India is due to submit its report by April.
