ED raids former Kerala CM Pinarayi Vijayan’s residence in CMRL money-laundering case

The Enforcement Directorate (ED) on Wednesday morning conducted searches at around 10 premises, including those of former Kerala Chief Minister Pinarayi Vijayan and his daughter T Veena in the Cochin Minerals and Rutile Limited (CMRL) case, officials said.

The case pertains to alleged diversion of funds from CMRL to various individuals under the guise of expenses which are reportedly fake.

Vijayan’s daughter is alleged to be one of the beneficiaries, ED sources said.

According to the anti-money laundering agency, the private mining entity reportedly made an illegal payment of Rs 1.72 crore to Veena’s company, Exalogic Solutions, between 2018 and 2019 even though the firm had not provided any service to the company.

The transactions came under the radar after the Interim Board for Settlement of the Income Tax Department questioned their legitimacy as business expenditure.

Following those findings, the Ministry of Corporate Affairs had ordered a Serious Fraud Investigation Office probe in January 2024.

The ED had registered a case and issued summons to CMRL officials in April 2024, prompting the company to move court against the agency’s action.

The searches came a day after the Kerala High Court dismissed petitions filed by CMRL and its officials seeking to quash the ED’s proceedings. The court declined to stay the investigation, allowing the agency to continue its probe into the alleged transactions.

According to reports, the ED is examining whether the transactions constituted illegal gratification and whether the funds were routed in violation of anti-money laundering laws.

Investigators are also probing the nature of agreements between CMRL and Exalogic Solutions.