Kerala: HC gives nod to SFIO to continue probe against KSDIC in 'monthly payment' controversy

Kochi: The Kerala High Court ordered the Serious Fraud Investigation Office to carry out and continue its probe against Kerala State Industrial Development Corporation (KSIDC) in connection with the monthly payment controversy on Tuesday. The court was considering KSIDC's plea questioning the SFIO investigation. The case will be heard again on April 5.

The Ministry of Corporate Affairs informed that SFIO is carrying out a probe into the activities of Exalogic, CMRL, and KSIDC. The centre also pointed out that more than Rs 1 crore was received in the name of Exalogic for the services provided. The central government raised concerns regarding the lack of investigation when the KSIDC director was placed in CMRL and financial transactions were being conducted. The Serious Fraud Investigation Office (SFIO) informed the court that KSIDC cannot distance itself from the investigation. 

After hearing the arguments, the High Court decided to proceed with the investigation and instructed KSIDC to cooperate fully without withholding any information. The plea has been adjourned until April 5 for further proceedings.

A controversy erupted in Kerala last year, citing Income Tax findings that CMRL (Cochin Minerals and Rutile Limited) had paid a total of Rs 1.72 crore to the chief minister's daughter's firm between 2017 and 2020.

• SFIO investigation against KSIDC
• Exalogic
• CMRL
• Veena Vijayan
• Pinarayi Vijayan