ED raids former Kerala CM Pinarayi Vijayan's house in CMRL money laundering case
It is alleged that a private company named Cochin Minerals And Rutile Ltd (CMRL), made an illegal payment of Rs 1.72 crore to Vijayan's daughter T Veena's company -- Exalogic Solutions -- during 2018 to 2019, even though the IT firm had not provided any service to the company.
The Enforcement Directorate (ED) on Wednesday (May 27) conducted searches at multiple locations across Kerala, including the residences of former Chief Minister and present LoP Pinarayi Vijayan, in the Cochin Minerals and Rutile Limited (CMRL) case linked to financial dealings involving his daughter Veena Thaikkandiyil's firm Exalogic Solutions Pvt. Ltd.
According to the officials, ED conducted raids at Vijayan's rental house in Thiruvananthapuram and 12 other locations under the provisions of the Prevention of Money Laundering Act (PMLA). The ED conducted raids at a location in Kannur and houses of "key persons" of Cochin Minerals And Rutile Ltd (CMRL), a private entity, are being raided under the provisions of the Prevention of Money Laundering Act (PMLA).
Vijayan's house has been searched as the probe involves his daughter T Veena, they said.
About the CMRL case
It is alleged that CMRL made illegal payments amounting to Rs 1.72 crore to Exalogic Solutions, a company linked to Veena Vijayan, between 2017 and 2020, despite the firm allegedly not providing any services in return.
On Tuesday, the Kerala High Court dismissed a writ petition filed by CMRL seeking to quash the proceedings initiated by the Enforcement Directorate (ED), thereby allowing the central agency to continue its investigation in the matter.
The ED had registered a case under the Prevention of Money Laundering Act (PMLA) in 2024 in connection with the alleged financial transactions.
The ED probe stems from a complaint filed by the Serious Fraud Investigation Office (SFIO), an investigative arm of the Ministry of Corporate Affairs.
The SFIO probe followed after the interim board for settlement of the Income Tax Department questioned the legitimacy of certain transactions undertaken by the CMRL.
The CMRL had an agreement with Veena's IT firm for consultancy and software support services, but it was alleged that, despite the fact that no service was rendered by her firm, the amount was paid on a monthly basis "due to her relationship with a prominent person".
Vijayan rubbishes charges
Vijayan has rubbished the charges levelled against his daughter in the past, saying they were made to tarnish his image and defame him.
The CPI(M) veteran was recently unseated from power after the Congress-led UDF won the Assembly elections in Kerala last month. The two-term former chief minister (2016-2026) has now been nominated for the position of leader of the opposition in the Kerala Assembly by his party.