Soon after a border clash between India and China, the Indian government had banned popular social media app TikTok, owned by ByteDance along with other 59 Chinese apps, citing security issues. China has repeatedly criticised this move by the Indian authorities.

An Indian tax intelligence unit in mid-March ordered HSBC and Citibank in Mumbai to freeze bank accounts of ByteDance India as it probed some of the unit's financial dealings, to which ByteDance had moved to the court challenging the decision of the Indian authorities.

On Wednesday (31st March), A two-judge bench at the High Court in Mumbai city heard the plea of a ByteDance counsel who said the company was "bleeding" and needed funds to pay staff salaries and rent, but the court gave no relief. It also told the court that a government freeze on its bank accounts in a probe of possible tax evasion amounts to harassment and was done illegally, but the court has given them no relief.

TikTok has faced similar scrutiny around the world, Under then-President Donald Trump the United States alleged the app posed national security concerns.

ByteDance still has around 1,300 employees in India, most of whom service its overseas operations, including work on activities such as content moderation and none of ByteDance India's employees have been paid their March salaries due to the account freeze.

Finally, after hearing objections from a government counsel, the court said the case was next to be heard on April 6.

Now, Bombay High Court on Tuesday said China's ByteDance must deposit around $11 million that authorities believe the company owes in an alleged case of tax evasion, a decision the government said bars the firm from using existing bank funds for other purposes.

An Indian tax intelligence agency in mid-March ordered HSBC and Citibank in Mumbai to freeze accounts of ByteDance India as it investigated some of the firm's financial dealings. ByteDance challenged the move in court saying the freeze amounted to harassment and was done illegally.