Allegations of Illegal Payments
Kerala High Court directs registration of FIR against Pinarayi Vijayan, daughter Veena and son-in-law Riyas
THIRUVANANTHAPURAM: A single bench of the Kerala High Court on Friday directed the Vigilance and Anti-Corruption Bureau to register an FIR against former Chief Minister Pinarayi Vijayan, his daughter T Veena, son-in-law Muhammed Riyas, and others over alleged illegal payments to Veena’s now defunct IT firm, Exalogic Solutions.
Last month, the Enforcement Directorate (ED), which is probing allegations that Veena’s firm had received illegal payments from Kochi-based Cochin Minerals and Rutile Limited (CMRL), had recommended that the state police register an FIR against Vijayan and others, including Veena and Riyas, under the provisions of the Prevention of Corruption Act.
Instead of registering an FIR, the Congress-led UDF government ordered a preliminary inquiry by the state crime branch. It decided that the decision on registering an FIR would depend on the outcome of the preliminary inquiry.
K M Shahjahan, a former additional private secretary to former Chief Minister V S Achuthanandan, approached the High Court, with the ED also joining the proceedings.
After hearing all sides, including the state government, Justice A Badharudeen accepted the petition and directed that an FIR be registered.
The court noted that the 25-page communication sent by the ED included extensive primary material, such as witness statements, financial transaction records, entries from seized diaries and notebooks, and chat records. This material clearly revealed the commission of cognisable offences under the Prevention of Corruption Act.
The ED argued that the Crime Branch could not conduct a preliminary probe and that an FIR should be registered based on its recommendation. The state government contended that the petition was not maintainable and that the investigating agency could conduct a preliminary probe before registering an FIR.
According to the ED, CMRL allegedly paid Rs 2.78 crore to Veena's IT firm, Exalogic Solutions, under the guise of IT consultation fees despite the firm not providing any services. The IT department had unearthed these alleged payments, made during Vijayan's first term as Chief Minister. In May, the ED carried out raids at Vijayan's residences in Thiruvananthapuram, Kannur, and eight locations linked to local CPM leaders in Kozhikode district. The ED claimed to have found evidence of money transfers through the hawala route.
In its report to the state police, the ED alleged that Vijayan received Rs 3.26 crore from CMRL as a bribe through Veena. The agency cited an alleged admission by CMRL's former chief financial officer and claimed that Riyas helped transfer the money to Dubai through Veena and others. The ED also sought an FIR against senior employees of Exalogic Solutions. Meanwhile, Vijayan has denied all allegations, asserting that his hands are clean.
The CPM reiterated that it will fight the case legally and politically.