Cox & Kings is presently going through corporate insolvency process. Suspecting fraud, lenders to Cox & Kings, had initiated a forensic investigation into the matter and the role, if any, of senior executives and the Indian promoters. The Ministry of Corporate Affairs (MCA) has also ordered Serious Fraud Investigation Office probe in travel firm Cox & Kings after it uncovered prima facie evidence of siphoning of money
It is alleged that
Cox & King has done Transactions worth Rs. 21,000 crores over four years (2015 to 2019) mainly to siphon off funds falsifying records.
- Rs. 1,100 crores loan from “brother to brother” that violated basic fiduciary norms, The Company gave loan of Rs. 1,100 crore to Alok Industries. (CFOs of both the Company were brothers.
- Sales worh Rs. 9,000 crores to over 160 customers who are bogus or who do not exist
- Inflated Bank Balances
- Most of the related party transactions were executed without proper approvals from its Board
- Rs. 589 crores loans to related parties to related parties without executing proper loan documents
