Kerala Karavannur Bank Fraud: ED Raided CPI(M) MLA Moideen's Residence (Image:www.facebook.com/ACMoideen.lsgd/photos)
The Enforcement Directorate (ED) raided the residence of CPI(M) MLA A C Moideen”s residence on Tuesday. The raid was taken place as part of a money laundering investigation connected to Karuvannur cooperative bank in Kerala”s Thrissur.
The alleged bank is controlled by the CPM party, the leading party in the current ruling LDF (Left Democratic Front) government, and is in controversy for a Rs 100 fraud over a long time.
According to the investigation officers, the bank, instructed by the governing body, had allegedly given loans “in cash” to non-member “benamis” (made, held, done, or transacted in the name of another person) by mortgaging properties of poor members without their knowledge and laundered to the benefit of the accused, reported OnManorama.
The governing body is comprised of CPM district-level members as its committee members.
ED will be conducting fresh searches on about half-a-dozen premises in the state relating to the case. The Directorate of Enforcement is a federal, multi-disciplinary organization mandated with investigation of offence of money laundering and violations of foreign exchange laws.
The ED conducted raids associated with this case previously also. On August 2022, six similar raids were carried out.
AC Moideen, the current MLA from Thrissur”s Kunnankulam, is the former Minister for Local Self Governmnet in the term of 2018-2021. The 67-year old is also a senior CPI(M) leader, and is a member of Kerala Legislative Assembly from 2016.
This case of alleged fraud, beginning 2010, in the Thrissur-based CPI(M) controlled bank triggered a political row in Kerala a year ago, reported the Telegraph.
ED suspects many “benami” loans were produced allegedly by the bank on instructions of Mr Moideen.
The raids are conducted under the provisions of the Prevention of Money Laundering Act (PMLA). It is a criminal law enacted to prevent money laundering and to provide for confiscation of property derived from, or involved in, money-laundering and for matters connected therewith or incidental thereto.
