Mumbai Police files sixth FIR against Cox and Kings

The accused allegedly availed loan from the complainant private sector bank and later defaulted in repayment

The economic offences wing (EOW) of Mumbai Police on Friday registered sixth first information report (FIR) against global tour and travel company Cox and Kings, its promotor, directors and other employees for allegedly duping Laxmi Vilas Bank of ₹35 crore.

The banking (fraud) unit-2 of EOW booked Cox and Kings’s promotor Ajay Ajit Peter Kerkar, wife Urshila Kerkar and other directors, auditors and others on the complaint of Laxmi Vilas Bank.(HT PHOTO)

The accused allegedly availed loan from the complainant private sector bank and later defaulted in repayment.

The banking (fraud) unit-2 of EOW booked Cox and Kings’s promotor Ajay Ajit Peter Kerkar, wife Urshila Kerkar and other directors, auditors and others on the complaint of Laxmi Vilas Bank.

After carrying out a preliminary inquiry on the Laxmi Vilas Bank’s complaint, EOW officers concluded that prima facie a cognisable offence was committed. Hence, it was registered on Friday.

The EOW is already investigating five FIRs against Cox and Kings group for alleged frauds involving over ₹1,950 crores. Of the five FIRs, four are registered by private sector banks. The Enforcement Directorate (ED) officers are also probing the irregularities of the company concerning the money laundering aspect, while EOW is looking into the criminal part.

Officers at the banking (fraud) unit-2 of EOW are investigating the cases registered on Cox and Kings Group.

Peter Kerkar and other senior executives of Cox and Kings are facing charges under sections 406 (criminal breach of trust), 409 (criminal breach of trust by a public servant, or by banker, merchant or agent), 420 (cheating), 465 (forgery), 467 (forgery of valuable security), 468 (forgery for purpose of cheating) 471 (using as genuine a forged) and 120B (criminal conspiracy) of Indian Penal Code.

EOW officers said that the accused travel company, its promoters, directors, auditors and other accused conspired together and fraudulently availed loan from various banks. “Forged documents were submitted to banks by Cox and Kings group to fraudulently obtain the loan. Later the loan money was diverted and used for other purposes,” said an officer.

Previously FIRs against Cox and Kings were made by Axis Bank, Kotak Mahindra Bank, IndusInd Bank, HDFC Bank and a private investment firm. The amount involved in the irregularities, as per these give complaints, are to the tune of around ₹1,950 crores.

EOW officer probing Cox and Kings cases on Wednesday took custody of one of the accused in previous FIRs - Anil Khandelwal, the chief finance officer of Cox and Kings from Taloja jail. He is presently being interrogated by EOW officers. Previously, the ED officers had also questioned him.

“Khandelwal is key accused in the case and was at the helm of the affairs,” said an officer.

Another EOW officer said that soon custody of Peter Kerkar who was also arrested by ED last month and presently is in jail may also be taken by EOW.

Peter Kerker too has filed two counter FIRs against some complainant banks and senior executives of his company for conspiring together and cheating the company. EOW is also investigating these two complaints.