Kochi: The Enforcement Directorate (ED) has returned seized funds to the victims of the Karakkonam CSI Medical College admission fraud case. A total of Rs 80 lakh was handed over to six victims, and the ED announced that similar actions would be taken in about ten other cases.
ED Kochi region Deputy Director Simi S said, "Alongside taking strong action against financial crimes, steps are being taken to return the nonet to the victims before the trial is completed."
The seized money was distributed at the ED's Kochi office, with officials including Deputy Directors Simi S, K Radhakrishnan, Vinod Kumar, and Special Prosecutor M J Santhosh overseeing the event. The ED had uncovered that bribes were accepted for medical admissions at Karakkonam Medical College, violating foreign currency regulations to launder money.
Following the investigation, 11 FIRs were filed, and a chargesheet was submitted. "Of the Rs 95 lakh seized, Rs 80 lakh was returned to victims, with funds for eight more complaints set to be distributed soon," officials said.
In the Karuvannur Bank Scam, the ED has begun distributing the Rs 128 crore seized from the bank to the complainants. According to Deputy Director B Radhakrishnan, five complainants had approached the PML Court, demanding the return of their money, and the court confirmed that there were no objections.
However, the bank has not cooperated fully, stalling the process for three months. "The ED has contacted the banks to facilitate the distribution, but the bank holds the transaction details, which have been provided to the court," B Radhakrishnan said.
The Karuvannur Bank scam, a multi-crore loan fraud and money laundering case, involves the bank, which was led by the Communist Party of India (Marxist). The scam, valued at Rs 300 crore, saw bank officials issue fake loans, manipulate interest rates, and forge documents to siphon off depositor's money. The investigation revealed Rs 219 crore in fraudulent activities dating back to 2011-12.
