ED Raids 12 Locations in Kerala in Connection with Rs 1,000 Crore CSR Scam: Here Are the Details

Kochi: In a major crackdown on a widespread corporate social responsibility (CSR) scam in Kerala, the Kochi unit of the Enforcement Directorate (ED) raided 12 locations across the state on Tuesday.

This raid is part of an ongoing investigation into a massive Rs 1,000 crore scam that has shocked the region, involving fake CSR fund schemes that defrauded thousands of innocent investors.

Key Figures Under Investigation: K.N. Anandakumar and Ananthu Krishnan

Among the significant targets of the ED’s investigation are K.N. Anandakumar, the Chairman of the NGO Confederation and a well-known social activist in Kerala, and Ananthu Krishnan, the alleged mastermind behind the scam.

Anandakumar, who is accused of receiving Rs 10 lakh per month from Krishnan, is facing scrutiny after the ED’s raids. Krishnan, a 26-year-old businessman, is said to be the central figure in the operation, using aggressive marketing tactics to attract investments for fake CSR schemes.

Krishnan allegedly enticed victims with promises of heavily discounted products, including scooters, laptops, and sewing machines, available at prices far lower than their market value. Many unsuspecting individuals invested their life savings, believing they were getting a lucrative deal. The scam reached a vast network, with over 25,000 people falling victim to Krishnan’s fraudulent operations.

Congress Leader Laly Vincent’s Role and Legal Involvement

The ED is also conducting searches at the residence of Laly Vincent, a prominent Congress leader in Kerala. Vincent, who serves as the legal counsel for Krishnan, is under investigation as part of the ongoing probe into the scam.

The investigation raises critical questions about the involvement of high-profile individuals in facilitating or benefiting from Krishnan’s fraudulent activities.

The Scale of the Scam: Transactions and Missing Funds

The scale of the scam is vast, with Krishnan operating 21 separate bank accounts through which he conducted transactions amounting to Rs 548 crore.

Investigators discovered that Rs 143.50 crore was collected from investors, with the promise of providing them with discounted two-wheelers. The money appears to have vanished, and the probe team is yet to determine the exact whereabouts of these funds.

The case has become a significant point of concern, with the Kerala Police Crime Branch also involved in the investigation. Over 500 separate cases of cheating have been registered, highlighting the widespread nature of the fraud. Authorities have stated that these are preliminary findings, and that further investigation is required to uncover the full extent of the scam.

Ongoing Legal and Police Proceedings

As the investigation continues, legal proceedings have also progressed. Anandakumar, one of the accused in the case, had filed for anticipatory bail.

The state court is expected to deliver its verdict on this matter soon. Meanwhile, the police have secured a two-day custody order for Krishnan, allowing them to continue their inquiry into his involvement in the scam and gather further information.

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What’s Next for the Investigation?

The Enforcement Directorate’s raids and the ongoing police investigations are expected to reveal more about the complex network behind the CSR scam.

The authorities have expressed their commitment to bringing those responsible to justice, as the scale of the fraud and the number of victims continues to rise.

With the involvement of high-profile individuals and the significant financial transactions, this case is likely to have far-reaching implications for the business and political landscape in Kerala.

As the investigation progresses, more details are expected to emerge, shedding light on how this sophisticated scam was carried out and how the funds were laundered