AUTHORITIES yesterday said smartphone maker Xioami Corp. made errors in its accounting, sending the company’s Hong Kong-listed shares down amid a wider selloff of tech stocks.

Xiaomi was one of several Internet firms named in the annual inspection by the Ministry of Finance. Other firms include e-commerce giant Suning.com Co. and online game developer Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co.

It also noted that other companies had made efforts to evade taxes by shifting their profits overseas.

The rebuke comes as the company is facing teething issues following its much-anticipated listing in July. Its stock is down more than 30 percent since the initial public offering (IPO) amid a wider selloff of tech stocks that has also affected peers Alibaba Group Holding Ltd. and Tencent Holdings Ltd.

It also comes as the government is making revisions to its tax code and cracking down on evasion in a wide-scale cleanup.

Despite its tumbling price, Xiaomi has reported healthy smartphone sales in 2018. Earlier this month it said it has already surpassed its full-year sales goal of 100 million handsets. (SD-Agencies)