Cox & Kings is a famous travel company. They have headquarters in India and UK. Their operations extend over twenty two countries and four continents. The company offer various services like corporate travel corporate travel, meetings, visa processing, luxury escapades, etc.
Kotak Mahindra and Axis Bank, the well-known private sector lenders have lodged complaints against the travel company Cox &Kings Ltd over fraud of Rs 1,200 crore. It is being investigated by the economic offences wing of the Mumbai police. But the Chief Executive Officer and the Director of the group Mr. Ajay Peter Kerkar mentioned it as an inquiry.
In regular, the banks have alleged that the travel firms were involved in manifold transactions through their subsidiaries. The Kotak Mahindra Bank has stated that they have extended their financial facilities to the UK-based travel firm since 2012 and the lender indicates that the outstanding amount of Cox & Kings stood at Rs, 174.3 crore in June 2019.
There has been a preliminary enquiry, which is registered against the travel company based on complaint lodged by IndusInd bank, which has alleged as a default in payment of Rs 239 crore. Not only Kotak Mahindra bank, but also the Axis Bank has submitted a complaint, alleging that some officials of the Cox & Kings had availed loan facilities to the tune of Rs 1,030 crore and cheated the bank by not repaying it.
PricewaterhouseCoopers (PwC) were appointed by the banks to do a forensic audit by following the financial irregularities. The draft report point outs that some of the office-bearers of the firm are involved in the fraudulent practices.
