Ernakulam: The Kerala High Court on Wednesday issued a two-month freeze on all trials in the high-stakes 'monthly payment' case involving Veena Vijayan, daughter of Chief Minister Pinarayi Vijayan. The interim order comes as a breather for all accused after the Serious Fraud Investigation Office (SFIO) filed a chargesheet alleging large-scale financial irregularities.
Justice T R Ravi passed the order after hearing a petition by Cochin Minerals and Rutile Ltd (CMRL), challenging the Ernakulam Sessions Court's decision to take cognisance of the SFIO's complaint. The High Court directed a status quo, effectively preventing the issuance of summons or further action by the lower court during this period.
Additional Solicitor General ARL Sundaresan, appearing for the Centre, confirmed the High Court's order and said the sessions court cannot issue any notices or summons to the parties, including Veena Vijayan, until the court reconsiders the matter. While the CMRL had sought a complete stay on the case, the High Court refrained from suspending cognisance of the SFIO chargesheet but agreed to examine the procedural concerns raised.
At the core of the controversy is the allegation that Veena's defunct IT company, Exalogic Solutions, received Rs 1.72 crore from CMRL between 2017 and 2020 for services that were allegedly never delivered. The SFIO, invoking Section 447 of the Companies Act dealing with corporate fraud, claims the transactions were part of a Rs 182 crore financial fraud unearthed within the mining firm. The SFIO chargesheet lists 13 accused, with CMRL MD Sasidharan Kartha named first and Veena Vijayan eleventh. The investigative agency alleges fake invoices and inflated expenses were used to siphon funds, though the accused parties have denied any wrongdoing.
The revelations triggered sharp political reactions on the ruling CPI(M), with opposition leaders accusing the Chief Minister's Office of shielding the accused. A plea by Congress MLA Mathew Kuzhalnadan seeking a vigilance probe into the matter was dismissed by the High Court earlier this month. The case is now set to be heard by a new division bench, with the Centre requesting more time to present its arguments in full.
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