Story

Cox and Kings' Ezeego 'defrauds' Yes Bank of Rs 946 crore; CBI files FIR

Ezeego fraud: The agency has booked senior executives Ajay Ajit Peter Kerkar, Urshilla Kekar, Neelu Singh, Arup Sen, Manisha Amarapurkar, Pesi Patel and Karthik Venkatraman

Munish Pandey | November 10, 2020 | Updated 12:13 IST
CBI files FIR against Ezeego

The Central Bureau of Investigation has filed an FIR against Ezeego One Travel & Tours Limited, sister company of Cox and Kings for defrauding Yes Bank over Rs 900 crore. The account with an amount of Rs 946.44 crore was reported as fraud to the Reserve Bank of India on February 14, 2020. The CBI filed the FIR based on the complaint of Yes Bank.

As per the complaint, the account was reported as fraud on grounds of diversion of funds. The agency has booked senior executives Ajay Ajit Peter Kerkar, Urshilla Kekar, Neelu Singh, Arup Sen, Manisha Amarapurkar, Pesi Patel and Karthik Venkatraman.

The FIR states that Yes Bank gave credit of Rs 650 crore to Ezeego in 2017, which was increased to Rs 1,015 crore by September 2018. The account was reported as NPA in June 2019 after the travel firm defaulted on payments.

The agency said in the FIR that it was found that the company was involved in diversion of funds to Cox and Kings. It also says that the audit report shows that the firm took a loan of Rs 150 crore from Yes Bank to clear the loan. However, it was never paid and turned NPA in 2019.

Ezeego One Travel & Tours Limited was incorporated in 2006, and offered travel products from booking flights, hotels and holiday packages to a host of other transport and travel services in the Indian market.

Meanwhile, sources say that the CBI has also received another complaint of fraud against Cox and Kings from State Bank of India, which is currently being examined.