Bengaluru, April 16 -- The Karnataka high court has directed Google India and three of its senior executives to deposit 50% of the over Rs.5 crore penalty imposed on them by the Enforcement Directorate (ED) for alleged violations under the Foreign Exchange Management Act (FEMA).

In an order passed last month, justices V Kameswar Rao and S Rachaia directed Google and its officials to deposit the money as bank guarantee while allowing a petition filed by ED.

ED had approached the court earlier this year claiming that between the years 2007 and 2010, Google India had entered into an agreement with Google Ireland and Google US, agreeing to pay them over Rs.364 crore towards distributor fees and equipment acquisition, respectively. It howeve...