Published Nov 05, 2026 | 7:57 PM ⚊ Updated Nov 05, 2026 | 7:57 PM
BLM chairman R Premkumar.
Synopsis: The Enforcement Directorate (ED) has seized and frozen assets worth around ₹103 crore in connection with its money laundering investigation into alleged financial fraud involving the Bharath Lajhna Multi State Housing Co-operative Society Ltd (BLM) and its founder, R Premkumar. The agency said around 320 bank accounts allegedly used to divert public funds were under scrutiny, with the investigation indicating that money was channelled into personal assets held by Premkumar’s family members and entities associated with them.
The Enforcement Directorate (ED) has seized and frozen assets worth approximately ₹103 crore in connection with its money laundering investigation into the alleged financial fraud involving the Bharath Lajhna Multi State Housing Co-operative Society Ltd (BLM) and its founder R Premkumar.
The ED’s Kochi Zonal Office conducted search operations at 12 premises on 4 November, under the Prevention of Money Laundering Act (PMLA), 2002. The searches were carried out across Ernakulam, Kozhikode, Thrissur, Thiruvananthapuram, Munnar and Chennai.
According to an official press release issued by the ED on 5 November, the searches were conducted in connection with allegations of misappropriation and money laundering involving public funds belonging to BLM by its founder and other family members.
The ED initiated its investigation based on an FIR registered by the Kerala Police against R Premkumar, the founding member and de facto chairman and managing director of BLM, along with others.
According to the FIR, Premkumar allegedly misused his influence to divert crores of rupees collected from public depositors into the bank accounts of his family members and relatives for the acquisition of assets.
The FIR further alleged that properties belonging to BLM were mortgaged and the funds obtained through such transactions were utilised for personal benefits and for acquiring assets in the names of Premkumar’s family members.
The proceeds of crime in the case have been estimated at approximately ₹80 crore, as per the FIR.
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The ED’s investigation under the PMLA reportedly revealed that around 320 bank accounts were being operated by R Premkumar and his associates to layer the funds of BLM.
An analysis of these accounts allegedly showed that public funds belonging to the housing co-operative society were diverted for Premkumar’s personal benefit and for acquiring both movable and immovable properties in the names of his family members or entities controlled by them.
The investigation also revealed that properties belonging to BLM were allegedly mortgaged to obtain loans from financial institutions and such loan proceeds were subsequently used to acquire personal assets of Premkumar.
The ED further stated that the money was circulated and layered to conceal the source of funds. Its analysis of the bank accounts reportedly indicated that the diversion of BLM funds ran into hundreds of crores of rupees. The exact amount is yet to be quantified.
Also Read: Who is R Premkumar arrested in alleged Rs 5,000-crore Bharat Lajna Society fraud case?
During the search operations, the ED found that Premkumar had allegedly been controlling the affairs of BLM and actively participating in its functioning. He was also found to have been signing several statutory documents of the society.
The agency identified and seized or froze assets worth approximately ₹103 crore during the searches.
These include:
The ED said that the investigation was still underway to establish the complete extent of the alleged financial irregularities and trace the proceeds of crime.
(Edited by Dese Gowda with inputs from Subash Chandra Bose)
