The Enforcement Directorate (ED) on Tuesday arrested Anil Khandelwal, CFO of Cox and Kings Group (CKG), and Naresh Jain, internal auditor of CKG, under Section 19 of the Prevention of Money Laundering Act PMLA, 2002. Both the accused were produced before the special judge (PMLA) and sent to 7-day ED custody.

During PMLA investigation, it has surfaced that Yes Bank has total outstanding of Rs 3,642 crore in respect to Cox and Kings Group. Further investigation revealed that CKG forged its consolidated financials by manipulating the balance sheets of overseas subsidiaries. In addition, some board resolutions submitted to banks for sanctioning the loans were also found to be forged.