The ED case was that the bank, which was controlled by the CPI(M), had issued loans through fraudulent means and thus caused huge financial loss to itself and the depositors. (file)
| Photo Credit: KK NAJEEB
The Directorate of Enforcement (ED) has arraigned the CPI(M) and a few top leaders of the party from Thrissur district, including K. Radhakrishnan MP, as the accused in the Karuvannur Service Cooperative Bank loan scam.
Mr. Radhakrishnan has been arraigned as the 70th accused in the case in the second set of final complaints filed on Monday (May 26, 2025). The CPI(M) was listed as the 68th accused.
The investigation agency has listed 27 accused in the final complaint that was filed before the Special Court trying the offences booked under the Prevention of Money Laundering Act (PMLA). The total number of accused in the case now stands at 83.
Besides Mr. Radhakrishnan, Madhu Ambalapuram, a municipal councillor of Wadakkanchery municipality, former State Minister A.C. Moideen, former party Thrissur district secretary M. M. Varghese, A. R. Peethambaran, secretary of the Porathussery North local committee, M. B. Raju, secretary of Porathussery South local committee and K. C. Premarajan, secretary of Irinjalakuda area committee, have also been made the accused in the case.
ED’s case
The ED case was that the bank, which was controlled by the CPI(M), had issued loans through fraudulent means and thus caused huge financial loss to itself and the depositors. It was also alleged that the loans were issued in violation of the rules and regulations and without proper collateral security.
The agency alleged that the accused committed financial fraud to the tune of ₹180 crore. The ED had temporarily attached property valued at ₹128 crore.
The scam and the case had created ripples in the political circles of Kerala, with the Opposition and the BJP hitting out at the CPI(M). The BJP had extensively campaigned against the CPI(M) during the 2024 parliamentary election, with Prime Minister Modi referring to it in his campaign speeches in Thrissur district.
The ED booked the case by invoking the PMLA based on the FIRs registered in the case.
Later, the Crime Branch took over the investigation.
The ED and the Crime Branch later locked horns in the case after the latter had sought the files seized by the ED.
Published – May 26, 2025 01:51 pm IST
