Kerala HC gives free hand to ED in CMRL case linked to Pinarayi Vijayan's daughter

KOCHI: In a significant development in the controversial CMRL financial transactions case that had rocked Kerala politics during the tenure of former Chief Minister Pinarayi Vijayan, the Kerala High Court on Tuesday refused to quash the Enforcement Directorate’s investigation into Cochin Minerals and Rutile Limited ( CMRL), dealing a major setback to the company and its officials.

Justice T.R. Ravi dismissed a batch of petitions filed by the company and four of its senior officials challenging the ED’s probe and the Enforcement Case Information Report (ECIR) registered by the central agency.

Though the case does not directly involve Vijayan, the controversy had acquired massive political significance after allegations surfaced that CMRL had made questionable payments to Exalogic Solutions Pvt. Ltd., the IT firm owned by Veena Thaikkandiyil, daughter of Pinarayi Vijayan.

The allegations regarding monthly payments made by CMRL to Exalogic without corresponding services had triggered a fierce political storm in Kerala, with the Opposition repeatedly targeting Vijayan and accusing his family of benefiting from dubious financial dealings.

The issue had remained one of the most politically sensitive controversies faced by the Vijayan government.

CMRL and its officials had approached the High Court seeking to quash the ED proceedings, arguing that the agency lacked jurisdiction as no scheduled offence under the Prevention of Money Laundering Act (PMLA) was made out in the case.