Published Mar 27, 2026 | 2:17 PM ⚊ Updated Mar 27, 2026 | 2:17 PM
File photo of Ramesh Chennithala. (Supplied)
Synopsis: At a press meet in Thiruvananthapuram, senior Congress leader Ramesh Chennithala alleged that the state government was attempting to push through what he described as the “biggest scam” in the cooperative sector, using the ongoing election period as cover. The core of the charge revolves around a statewide software project meant to digitise over 4,400 primary cooperative societies.
With less than two weeks left for polling in Kerala, the campaign has acquired a fresh edge, this time over a massive corruption allegation in the Cooperation Department — one that the Congress claims could run into ₹700 crore.
At a press meet in Thiruvananthapuram, senior Congress leader Ramesh Chennithala alleged that the state government was attempting to push through what he described as the “biggest scam” in the cooperative sector, using the ongoing election period as cover.
The core of the charge revolves around a statewide software project meant to digitise over 4,400 primary cooperative societies.
According to Chennithala, the contract had originally been awarded to Tata Consultancy Services for ₹206 crore after due process in 2023–24. That deal, he said, was later scrapped under “suspicious circumstances”.
A fresh tender was then floated in 2025 with altered conditions — changes that, the Congress alleges, effectively kept large, experienced firms out of the race.
Only two Kerala-based cooperative entities participated, both from Kannur. Among them, the Kerala Dinesh Beedi Workers Central Cooperative Society emerged as the lowest bidder.
Here’s where the numbers get political. The society has quoted ₹58 crore to implement the software for just 280 cooperatives. Extrapolated across all 4,415 societies, the total cost could shoot up to around ₹900 crore — more than four times the earlier TCS estimate.
The Congress argued that this would result in a loss of roughly ₹700 crore to the public exchequer.
Chennithala also questioned how an entity with no established track record in large-scale software deployment was being considered for a project of this size, especially when a global IT major had already been selected earlier.
The Opposition further alleged that the government was now trying to secure special clearance from the Election Commission to finalise the deal during the Model Code of Conduct period — a move it termed “hurried and questionable”.
Beyond the financial angle, the Congress framed the issue politically as well, claiming the project could centralise control over cooperative institutions, many of which have traditionally operated across party lines.
The CPI(M) has not yet responded in detail to the latest set of allegations.
But with 13 days to go for voting, the issue is likely to add another layer to an already intense campaign — one where charges of “deals” and backroom moves are now coming thick and fast.
(With inputs from Dileep V Kumar)
