On Tuesday, August 22, the Enforcement Directorate raided the residence of CPM MLA AC Moideen at Wadakkancherry in Thrissur district as part of an investigation in a money laundering case linked to the Rs Rs 312 crore fraud at Karubannur Co-operative Bank, which is controlled by the ruling CPM.
Moideen, who is reportedly under ED scanner over benami assets, was a State Minister in the first Pinarayi Vijayan government-2016-21.
The ED is raiding over six places linked to the MLA and others in the state under the provisions of the Prevention of Money Laundering Act (PMLA). The ED teams are being escorted by central paramilitary force personnel.
Moideen is reportedly present at his home while the 12-person team continues the raid.
According to reports, after the scam was unearthed it was revealed that Moideen, who is a senior CPI(M) leader who represents the Kunnamkulam constituency in the state Assembly, shares a close relationship with those who ran the bank.
Notably, the raids are being carried out after ED registered cases against 18 people, including director board members and staff of the popular Cooperative bank. As part of the same probe, a 75-member team had yesterday (Monday, August 21) carried out raids at the houses of the Karubannur Co-operative Bank president, secretary and other accused persons.
The scam was unearthed in Kerala in 2021. On July 14, 2021, the Irinjalakuda police registered a complaint against the accused persons. Soon after, the case was handed over to the state crime branch. There have been allegations that board members of the bank were aware of the ongoing fraud, and rampant forgery of signatures and documents was carried out.