Kerala: Centre accuses CMRL of Rs 185 crore corruption, submits SFIO findings to Delhi HC
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Synopsis
The Centre has accused Cochin Minerals and Rutile Ltd (CMRL) of Rs 185 crore corruption, alleging inflated expenses and fake bills for fraudulent spending, with the case falling under public interest due to KSIDC's stake.
New Delhi: The central government has accused the Cochin Minerals And Rutile Ltd (CMRL) of corruption amounting to Rs 185 crore in relation to monthly payments. The findings of an investigation by the Serious Fraud Investigation Office (SFIO) were submitted to the Delhi High Court by the Centre.
The government argued that the claim that no further investigation should be pursued, based on the Income Tax Settlement Board's order, is not valid. Both the Centre and the Income Tax Department informed the court that corruption poses a serious threat to the country's financial security.
Since the Kerala State Industrial Development Corporation (KSIDC) holds a stake in CMRL, the case falls under public interest. The Income Tax Department pointed out that the argument against further action, based on the commission's order, won't stand, and legal action can still be taken. The central government told the court that the corruption carried out by CMRL through a corporate entity was beyond any scope of imagination. The company allegedly inflated its expenses and disguised the corrupt funds. The investigation revealed that fake bills were created to show fraudulent spending on freight movement and waste disposal.
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