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Yes Bank was the biggest lender to loan defaulter Cox & Kings

Mar 7, 2020, 10:01 IST
PTI
New Delhi, Mar 6 () Yes Bank was the biggest lender to loan defaulter travel firm Cox & Kings with total claims of over Rs 2,285 crore, according to a list of financial creditors prepared by the resolution professional of the debt-ridden firm. Financial creditors have submitted a claim of over Rs 5,911 crore for debt they provided to Cox & Kings, according to a regulatory filing by the company.
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Cox & Kings is currently going through the corporate insolvency resolution process.

The Mumbai bench of the National Company Law Tribunal in Mumbai has directed to initiate insolvency proceedings against Cox & Kings in October last year over the plea filed by Rattan India Finance, claiming default on a loan of Rs 30 crore by the travel company.

Axis Bank has submitted a claim of Rs 1,065 crore, State Bank of India Rs 635 crore, Indus Ind Bank Rs 270 crore, Abu Dhabi Commercial Bank Rs 218 crore, Bank of Baroda Rs 188 crore, Central Bank of India 157 crore, Kotak Mahindra Bank Rs 148 crore, UTI Trustee Company 128 crore, Andhra Bank Rs 103 crore, SBI cards and payment services Rs 102 crore to the RP of Cox & Kings.

Other banks have exposure below Rs 100 crore which includes SBI (UK). HDFC Bank, Indian Bank, and IDFC Bank, among others.

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Around 2,500 operational creditors have submitted claims of over Rs 631 crore, 2,440 employees and workman have claimed dues of over Rs 94 crore and other creditors have submitted claims of over Rs 3 crore.

The company's auditors have noticed the use of "allegedly forged financial statements" in the accounts of its UK-based subsidiary Prometheon Enterprise.

The auditors of Cox & Kings have found that the audited consolidated financial statements of Prometheon Enterprise were not signed by Raffingers, the auditor of its UK-based arm.

The company in an earlier filing had said that "the newly appointed statutory auditors, in the course of the performance of his duties as auditor, have a reason to believe that an offence of fraud involving Rs 1 crore or above (individual amount), is being or has been committed in the company by its officers or employees and accordingly correspondences to the Ministry of Corporate Affairs is in process.". PRS HRS
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