Bollywood actor Shilpa Shetty told police that she had no idea about the content of the `Hot Shots' app through which her husband Raj Kundra allegedly distributed pornographic films, sources said on Saturday.

Kundra, a city-based businessman, was arrested by the Mumbai police on July 19 for alleged production of pornographic films and their dissemination through apps. In her statement given to the police on Friday, Shetty said she did not know about the content of the app, nor did she interfere in her husband's business, police sources said.

She was not linked to the app business in any way, the actor said, as per the sources.

She also told police that she had resigned from the post of director of Kundra's firm Viaan Industries.

The police seized a laptop from Kundra's house during search on Friday and also recovered some bank statements, sources said.

According to police sources, Shilpa Shetty said it was another accused - London-based Pradeep Bakshi, Kundra's brother-in-law - who was involved with the app. She also stressed the difference between 'erotica' and 'pornography', and said Kundra was not involved in producing pornographic content, reports ndtv.com.

On Friday Kundra was sent to police custody till July 27. Police said they had seized 48 TB worth of images and videos, most of which is adult content.

Police also said they had a record of transactions - from an account in Yes Bank registered to Kundra to one in the United Bank of Africa. They suspect money from sale of pornographic content was used for online betting. Rs 7.5 crore has been seized so far, reports ndtv.com.

During Friday's hearing his lawyer, Abad Ponda, had objected to classifying the seized content as 'pornography'. Ponda said the content could not come under Section 67 of the IT Act - for which bail is not allowed - as similar material is available on OTT platforms like Netflix.

It can be covered only under Section 292 of the Indian Penal Code - which deals with "lascivious" material, he said, adding "no further custody is needed".

Kundra has denied any wrongdoing, and has also named Pradeep Bakshi as the key figure.

However, police have said Kundra was kept updated on the finances of the app, and allegedly also set up a WhatsApp group to discuss the production, distribution and selling of content.

Kundra has approached the Bombay High Court to challenge his arrest and dismiss the lower court's order on extending police custody on that distinction. His petition also claims he was arrested after being summoned to the police station "under the garb of recording his statement".

The police say Raj Kundra, 45, is a "key conspirator" in the case, and that they had sufficient evidence against him; this includes pornographic clips and emails found in his office.

The case was registered February 4 after a woman told the police she had been forced to take part in a porn film after being promised an acting job, a police officer said.