The case pertains to alleged irregularities in a bank in Thiruvananthapuram's Maranalloor during Bhasurangan's tenure as its president.
Published Jan 23, 2024 | 7:52 PM ⚊ Updated Jan 23, 2024 | 8:01 PM
N Bhasurangan, Kandala Service Cooperative Bank.
The Enforcement Directorate (ED) on Tuesday, 23 January, said it had attached assets worth more than ₹1 crore linked to expelled Kerala CPI leader N Bhasurangan and his family members in a money-laundering case.
The case pertains to alleged irregularities in the Kandala Service Co-operative Bank in Thiruvananthapuram’s Maranalloor during Bhasurangan’s tenure as its president.
The politician and his son Akhiljith JB were arrested by the central agency in November last year in Kochi on charges of irregularities in loans given out by the lender.
In a statement, the ED said “several irregularities” were found in the management of the bank and alleged misappropriation of funds worth ₹57 crore was also detected.
“The bank suffered massive asset impairment due to its mismanagement and irregularities,” it said.
A provisional order under the Prevention of Money Laundering Act (PMLA) has been issued to attach the assets worth Rs 1.02 crore, the statement said.
The agency had said last year that the bank had not initiated any recovery proceedings in respect of the overdue loans availed by these family members and relatives of Bhasurangan.
Malpractices amounting to ₹101 crore were detected by the Department of Cooperation in Kerala at the Kandala Service Cooperative Bank. Following the misdoings the now owes its depositors around ₹103 crore along with an outstanding loan payment of ₹69 crore.
The ED had also raided the bank and residences of former bank secretaries in association with the loan fraud case. Raids were held at the houses of former secretaries Shantakumari Rajendran and Mohan Chandran, as well as the residence of a collection agent, Ani.
Earlier, when the allegations against Bhasurangan surfaced and the ED named him in the fraud case, CPI expelled him from the party.
The party alleged that Bhasurangan’s close association with top CPI and CPI(M) leaders helped him pull off the huge fraud. There are also allegations that he made monthly payments to these leaders in exchange for their alleged cooperation in the matter.
Bhasurangan was also removed from the position of Convenor of the Administrative Committee of the Kerala Co-operative Milk Marketing Federation (KCMMF) — Milma.
His removal from Milma was announced by the state Minister for Animal Husbandry, Dairy Development and Milk Co-operatives, J Chinchu Rani.
(With PTI inputs)
