The Keralam Government has decided to go ahead with a preliminary Crime Branch investigation, without registering an FIR, against former Chief Minister and Opposition Leader Pinarayi Vijayan, his daughter Veena Vijayan and former minister and MLA P.A. Mohammed Riyas in connection with the CMRL-Exalogic case. Home Minister Ramesh Chennithala has already instructed State Police Chief Ravada Chandrasekhar IPS in this regard.
Reports suggest that a special investigation team, headed by an Additional Director General of Police (ADGP), will be formed. The decision follows the legal opinion that there is prima facie evidence warranting an inquiry into the alleged bribe and related financial transactions.
The action comes after a meeting between Chief Minister V.D. Satheesan and Home Minister Ramesh Chennithala.
Advocate General K. Jaju Babu had examined the ED’s letter and given legal advice for a preliminary inquiry by the Vigilance Department and the Crime Branch.
However, the Home Ministry took the decision that there was no need for simultaneous inquiries by both the Vigilance Department and the Crime Branch.
Reports indicate that the Crime Branch will proceed with the preliminary inquiry.
The legal advice stated that offences under Section 7 of the Prevention of Corruption Act and Section 13(1)(b) could be examined.
Director General of Prosecution T. Asif Ali had given the opinion that Veena Vijayan and Pinarayi Vijayan could be prosecuted under the Prevention of Corruption Act in connection with the Rs 3.28 crore transactions Veena Vijayan had with CMRL, as alleged in the ED findings.
The ED had earlier alleged that CMRL payments to Veena and her company Exalogic were not for genuine IT and consultancy services and formed part of a larger bribery arrangement. These allegations remain subject to investigation and judicial determination.
The new investigation team will examine the documents and details relating to the financial dealings gathered during the ED investigation. Further action will follow after collecting more evidence and recording the statements of the concerned persons.
The ED had earlier sent its findings to the State Police Chief under Section 66(2) of the Prevention of Money Laundering Act (PMLA), seeking action under the Prevention of Corruption Act against Pinarayi Vijayan, Veena Vijayan and Mohammed Riyas. The ED’s findings included its investigation into payments between Cochin Minerals and Rutile Limited (CMRL) and Veena’s now-defunct company, Exalogic Solutions Pvt Ltd.
The ED has alleged that CMRL paid about Rs 2.78 crore to Exalogic, purportedly for IT consultancy services. The agency has also examined an additional ₹50 lakh loan extended to Exalogic by Empower India Capital Investment Pvt Ltd, operated by CMRL Managing Director S. Sasidharan Kartha.
Earlier investigations also examined alleged monthly payments during the period when Pinarayi Vijayan was Chief Minister. The ED’s findings reportedly included statements and financial records concerning the alleged payments and other transactions.
The ED investigation had also found handwritten accounts involving transactions worth Rs 20.05 crore and an alleged Rs 85 lakh transfer through hawala channels. The agency had examined financial dealings involving Veena Vijayan, Mohammed Riyas and others.
BJP national secretary K. Surendran criticised the State Government for delaying action even after receiving the ED’s letter. He alleged that the government was slow-pedalling the matter despite having received the legal advice.
Meanwhile, reports on September 21 suggested that the CMRL-Exalogic case had taken a new turn, with the ED initiating steps to attach assets linked to Exalogic Managing Director Veena Vijayan. The ED has been scrutinising assets as part of its investigation and is expected to issue attachment notices if they are identified as proceeds of crime.
Reports suggest that 1 kg of gold kept in the locker of Mohammed Febeesh has been frozen. Mohammed Febeesh is reported to be a friend of P.A. Mohammed Riyas, Veena Vijayan’s husband and former minister. The steps are reportedly being expedited before the submission of the prosecution complaint.
Earlier, the ED had frozen assets worth Rs 29.02 crore belonging to Veena Vijayan and other accused persons. The investigation team is now taking steps to proceed with the attachment of identified assets, subject to the necessary approvals.
According to reports, the investigation team has found that Veena Vijayan owns an apartment, although the ED has not disclosed its location.
ED officials had also reportedly conducted investigations in Pinarayi and Patiriyad villages in Kannur. It was reported that they found 80 cents (32.37 ares) of land in Veena Vijayan’s name. ED officials also reportedly examined a plot next to Pinarayi Vijayan’s house in Patiriyad village and found it to be in Veena Vijayan’s name.
According to reports, the value of the assets has been ascertained. The assets frozen earlier by the ED include Rs 15.57 lakh of Laker Indian Corporation, in which Veena is said to be a partner, and Rs 27,585 of Exalogic Solutions.
CMRL founder and Managing Director S. Sasidharan Kartha’s assets worth Rs 11.70 crore have also been frozen.
The ED is reportedly moving to attach the assets before submitting the prosecution complaint, with the necessary approval from its senior officials being sought.
