Kerala: ED Tightens Noose on Ruling CPI(M) in Karuvannur Bank 'Scam' Case

Sources within the ED said that the central probe agency has furnished details about the 'secret accounts' linked with the ruling CPI(M) with the Election Commission and the Union Ministry of Finance and the Reserve Bank of India.

Kochi:Days after Prime minister said that strict action would be taken against alleged irregularities in the cooperative banks in Kerala, the Enforcement Directorate has intensified its investigation into the alleged role of the ruling CPI(M) in the irregularities in the Karuvannur Bank by sharing the details of the 'secret accounts' with the Election Commission, sources said on Monday April 1.

Reliable sources said that the ED has told the Election Commission that the ruling CPI(M) has five secret accounts in Karuvannur Bank and that the accounts were opened in violation of cooperative rules and bank rules. The ED has further alleged that during investigation, it found illegal 'benami' loans were sanctioned through these accounts to the illegal beneficiaries the details of which were hidden from the audit.

The ED said that the five accounts opened by the CPI (M) in the Karuvannur bank were primarily used to purchase land for the party office and gathering party funds. The ED has said that the irregularities amount to a whopping Rs 150 crore.

The central probe agency said that there are many such mysterious accounts operational in Thrissur district for which a detailed investigation is required. The ED has shared the details about the alleged irregularities with the Union Ministry of Finance and the Reserve Bank of India.

The development comes five days after PM Modi, during a telephonic conversation with BJP candidate for Alathur Lok Sabha constituency, Prof TN Sarasu, said that strict action would be taken against the alleged irregularities in the cooperative banks in the state.

Kerala Chief Minister Pinarayi Vijayan dodged questions over the ED probe into the case.