Kerala Governor says allegations against daughter of CM Pinarayi Vijayan serious, require investigation

PA Muhammed Riyas and Veena Vijayan on their wedding day in 2020. (Supplied)

Asked whether he would seek an explanation from the chief minister over the matter, the Governor said he would decide on it later.

“As per media reports, the allegations against Veena are very serious,” said the Governor.

“I would duly examine them as they are based on findings of the Income Tax (I-T) department,” he added.

This could also be the latest chapter of the tussle between the Governor and the LDF government in Kerala, who have butted heads on a number of issues, including the appointment of university officials and even the inclusion of an MLA into the Cabinet.

With the Governor joining the chorus for a thorough investigation, the LDF government in power in Kerala is now turning defensive.

Meanwhile, BJP national leaders, including Prakash Javadekar and V Muraleedharan, have also demanded detailed probes and prosecution of Veena.

Also read: Opposition seeks probe into I-T charge against Kerala CM’s daughter

UDF’s demand for action

The Congress-led UDF, which is in the Opposition in the state, has also demanded action against Veena, but remains cautious as the I-T Department hinted that the monthly payrolls of the controversial company involved many UDF and LDF leaders, including Pinarayi Vijayan, Congress leader Ramesh Chennithala and IUML leader PK Kunhalikutty.

In the meantime, the issue turned murkier, with the company officials telling I-T officials that they paid money to leaders of all major political parties, including the BJP and the CPI.

Since the beginning of the controversy, neither Vijayan nor Veena’s husband and Kerala’s PWD and Tourism Minister PA Muhammed Riyas have commented on the issue.

When Congress MLA Mathew Kuzhalnadan tried to raise the issue in the Assembly, the Speaker cited technical reasons to deny him permission.

But the ruling CPI(M) has managed to take a stand over the raging controversy by claiming that the monthly funds were credited by a written agreement that the two signatory parties: Exalogic, headed by Veena, and the Cochin Minerals and Rutile Limited (CMRL)

However, CPI(M) state secretary MV Govindan refused to answer queries regarding the services provided to qualify for such a transaction. He said that only the company could make comments about the services.

Also read: CPI(M) jeers UDF, which is silent on CM daughter’s controversy

₹134 crore in  unaccounted-for transactions 

Meanwhile, sources in the I-T Department told South First that the CMRL had conducted unaccounted-for transactions worth ₹134 crore between 2013 and 2020.

Out of this amount, ₹95 crore was paid to politicians, their immediate family members, media houses, officials, and some mediapersons, added the sources.

The public-sector Kerala State Industrial Development Corporation (KSIDC) has a 13.41 percent share in the CMRL.

The Opposition is now urging the state government to prompt the KSIDC to initiate legal action against the CMRL for the financial frauds it committed.

The I-T Department has said the company inflated its losses to pay politicians, who would have otherwise opposed the environmental degradation caused by the company on the mineral-rich sand along the Kerala coast.

MV Govindan.

It has been almost a week since Malayalam daily Malayala Manorama created a sensation by carrying the news that Vijayan’s daughter Veena allegedly received ₹1.72 crore from the CMRL in monthly instalments in the last three years.

According to reports, Veena and Exalogic Solutions had a contract with the CMRL to offer the latter IT, marketing consulting, and software services.

The I-T Department has reportedly claimed that no services were provided.

With the Puthuppally by-election approaching fast, the revelations have created a difficult situation for the CPI(M) and Vijayan. The Left party’s claims of innocence and integrity over dealings have collapsed.