Synopsis
In a recent Assembly session, CM Pinarayi Vijayan stated that a thorough investigation will clarify potential political involvement in the Kerala CSR funds scam, which has affected thousands and resulted in substantial financial loss.Key Takeaways
- Detailed investigation into potential political involvement.
- The scam has a reported value of Rs 231 crore.
- Over 48,000 victims have been affected.
- Two key arrests have been made in connection with the scam.
- The investigation is ongoing with multiple jurisdictions involved.
Thiruvananthapuram, March 17 (NationPress) Chief Minister Pinarayi Vijayan announced in the state Assembly that a comprehensive investigation will determine if any political leaders were implicated in the notorious Kerala CSR funds scam.
This scam, carried out by a group, involved duping victims by promoting high-value consumer items—such as scooters, laptops, and sewing machines—at half their market value under the pretense of a CSR initiative.
According to CM Vijayan, the total value of the scam has reached Rs 231 crore, with 1,343 cases registered, out of which 669 are under investigation by the Crime Branch.
“Currently, 48,384 individuals have been victimized by this scam. Initially, they received products at half the price, but subsequently, nothing materialized. The investigation is ongoing,” CM Vijayan noted.
“The potential involvement of politicians in this matter will become clearer as the investigation progresses,” added the Chief Minister.
Two arrests have been made to date, including Ananthu Krishnan, the alleged mastermind of the extensive scam, and K.N. Anand Kumar, the Chairman of the NGO Confederation and a prominent social activist in Kerala.
“The bank accounts of both individuals have been frozen, and the investigation is advancing in the right direction,” CM Vijayan remarked.
While CM Vijayan has asserted that the scam amounts to Rs 231 crore, unofficial estimates suggest it could exceed Rs 1,000 crore.
Krishnan is currently in judicial custody, while Kumar, who was arrested last week, is receiving cardiac treatment in a private hospital.
Kumar is alleged to have received Rs 10 lakh monthly for several months from Krishnan.
This aggressive marketing campaign lured thousands of unwitting investors, who believed they were making a profitable purchase through corporate sponsorship.
As the fraudulent operation came to light, numerous victims stepped forward, claiming they had invested their savings in what seemed to be a promising opportunity.
The investigation by the Crime Branch has unveiled the shocking magnitude of the scam, with over 1,000 cases of financial fraud reported across all 14 districts of the state.
Last month, as part of a simultaneous inquiry, the Kochi unit of the Enforcement Directorate (ED) conducted raids at 12 locations throughout Kerala to trace the financial trail and possible instances of money laundering linked to the scam.
