Published Jun 01, 2026 | 1:34 PM ⚊ Updated Jun 01, 2026 | 1:34 PM
Kerala High Court. (iStock)
Synopsis: Senior Advocate Sidharth Luthra, appearing for CMRL, argued that the ED cannot proceed without a registered predicate offence. However, the court observed that the agency appeared to have sufficient grounds to examine possible money laundering allegations and sought relevant documents from the company.
The Kerala High Court on Monday, 1 June, refused to grant an interim stay on the ED investigation into the financial dealings of CMRL.
A Division Bench comprising Justice Raja Vijayaraghavan V and Justice KV Jayakumar was considering CMRL’s appeal against a Single Bench order that allowed the ED probe to continue.
The case is linked to the alleged monthly payment controversy involving Exalogic, a firm owned by former Chief Minister Pinarayi Vijayan’s daughter T Veena.
The court made it clear that it was not inclined to stop the investigation at this stage and decided to hear the matter in detail on the same day.
Senior Advocate Sidharth Luthra, appearing for CMRL, argued that the ED cannot proceed without a registered predicate offence.
However, the court observed that the agency appeared to have sufficient grounds to examine possible money laundering allegations and sought relevant documents from the company.
The hearing is currently continuing.
Officials argue that the investigation extends beyond transactions involving Exalogic and also covers suspicious financial dealings worth ₹182 crore linked to CMRL.
On 27 May, the ED launched surprise attacks at properties belonging to Leader of Opposition in the Kerala Assembly Pinarayi Vijayan, his family and others across as many as 12 locations. It devolved into a violent confrontation between CPI(M) cadre and ED officials and security personnel.
The searches included 10 locations in Kerala and two outside the state.
Among the premises searched were Pinarayi Vijayan’s ancestral house in Kannur, his rented residence in Thiruvananthapuram, the residence of Beypore MLA and his son-in-law PA Muhammed Riyas in Kozhikode, and properties linked to CMRL Managing Director Sasidharan Kartha.
Sources said investigators also recorded Veena’s statement during the search.
Also Read: CPI(M) cadre attack ED convoy
(Edited by Sumavarsha, with inputs from Sreelakshmi Soman)
