Enforcement Directorate investigates CMRL for corporate fraud and bribery

The Enforcement Directorate (ED) has conducted searches at nine locations in Kozhikode as part of a money laundering investigation involving Cochin Minerals and Rutile Limited (CMRL). The probe, initiated following investigations by the Serious Fraud Investigation Office (SFIO), targets alleged corporate fraud and bribery involving fictitious cash expenses totaling Rs 182 crore over 15 years.

Central to the allegations is Veena Vijayan, daughter of former Kerala Chief Minister Pinarayi Vijayan. The ED claims her firm, Exalogic Solutions Private Limited, received Rs 2.78 crore from CMRL under the guise of IT consultancy services without rendering actual services. Additionally, the agency noted that Rs 50 lakh in loans were extended to Exalogic by a company operated by CMRL’s Managing Director, despite repayment failures.

The investigation has triggered political friction in Kerala. The Communist Party of India (CPI), a key member of the ruling Left Democratic Front, has officially distanced itself from the allegations. CPI Secretary Binoy Viswam stated that the party has no role in or interest in these business arrangements, emphasizing that politics and business are entirely separate.