On August 22, 2023, the Directorate of Enforcement (ED) carried out search operations under the terms of the PMLA, 2002 at five different sites around the State of Kerala as part of an investigation into benamis and beneficiaries who stole more than Rs. 150 Crore in bank money from the Karuvannur Service Cooperative Bank Ltd.
The Kerala Police filed FIRs saying that the accused had stolen public funds and that more than one loan had been granted to the same individual against the Karuvannur Service Cooperative Bank loan cap while being secured by the same asset. Based on these FIRs, the ED opened an inquiry.
An investigation by the ED has shown that loans were given by the Karuvannur Service Cooperative Bank manager through the agent in cash to non-member benamis by mortgaging properties of underprivileged members without their knowledge and were then laundered to the benefit of the accused on the orders of certain individuals who were district level leaders and committee members of a certain political party and controlled the bank. According to an investigation, several of these Benami loans were given out under their direction. Current MLA and previous Minister for Local Self Government, A C Moideen. Searches were thus done on Kiran P. P., Rahim C. M., Shiju M. K., A. C. Moideen, and Satheeshkumar P.
Two orders were issued during the search operations, freezing bank deposits and FDs totalling Rs. 28 lakhs that were discovered to be in the custody of A.C. Moideen and his wife. Additionally, 36 properties worth a total of Rs. 15 crore were seized as a result of searches. A.K. Bijoy’s properties, with a market value of Rs. 30 crore, were previously the subject of a provisional attachment order. Further research is now being conducted.
