"We interrogated the third accused (Khanna) and he has confessed to complicity in the crime. We have also recovered her (Sheena's) passport from Dehra Dun, which negates the theory that Sheena Bora went to the US," Mr Maria told reporters.
Mr Khanna had earlier been remanded in police custody till August 31 by the Bandra Metropolitan Magistrate court.
Mr Maria said, "We have recovered skeletal remains of Sheena Bora. We will be dispatching the remains for a DNA test tomorrow (Saturday)."
On Friday, the police had called former Star India CEO Peter Mukerjea and Ms Mukerjea's son, Mikhail Bora to the Khar police station for questioning.
The police refused to accept a written statement as a final one from Mr Mukerjea, he was told that when the police required, he would be called to answer their queries. Peter Mukerjea then left the police station.
According to the police, Mr Bora has given vital clues which are still being ascertained. Police teams have been dispatched to other parts of the country for further investigation.
Sources have told NDTV that Ms Mukerjea got agitated when she was confronted with her son, Mikhail Bora's evidence. She snapped and replied that her son had been demanding money, and she had stopped giving in to his demands, said sources.
The police contended that Indrani Mukerjea, her driver Shyam Rai and Sanjeev Khanna, abducted Sheena in a car and took her to a forest in Pen town of Maharashtra's Raigad district, where they allegedly strangled her. The trio then poured petrol on her body and burnt it in the forest, they said.
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