Kerala Cabinet orders Vigilance probe into KIIFB land deals, clears MLA salary hike of up to 35%

The Kerala cabinet chaired by Chief Minister V. D. Satheesan on Wednesday (October 28) ordered a detailed State Vigilance investigation into land purchases made by the Kerala Infrastructure Investment Fund Board (KIIFB) in Kannur. Alongside the probe, the government approved several major welfare and administrative decisions, including higher housing grants for marginalised families, salary revisions for MLAs, and key gender reforms in the state police force. 

Vigilance probe ordered into Kannur land deals

The Vigilance inquiry focuses on procedural lapses and financial irregularities during the acquisition of nearly 1,000 acres in Kannur under the previous LDF administration, while halting proposals to acquire another 4,000 acres. Supported by technical experts from the Finance and Revenue departments, the probe stems from findings submitted by an expert panel headed by retired IAS officer Sudha Pillai. According to a separate report submitted to the High Court, large portions of the acquired land consisted of abandoned quarries filled with dumped plastic and construction waste, rendering them unfit for building.

Chief Minister Satheesan stated that the land was purchased at five times its actual market value, yet banks refused to lend even one-fifth of that cost when mortgaged. He noted that while ongoing projects worth over ₹31,000 crore will continue, KIIFB will now operate strictly under the Finance Department to control loan liabilities that threaten state finances. Satheesan also highlighted the stalled Sreekaryam flyover project as an example of administrative failure, calling it "criminal negligence" after three ceremonial inaugurations took place without completed design blueprints.

Opposition defends land purchases and public infrastructure

Rejecting the allegations, Leader of Opposition Pinarayi Vijayan and CPM leader K. N. Balagopal defended the Kannur land acquisitions. They said that the land was secured under the 2013 Land Acquisition Act, which legally mandates compensation rates significantly higher than market prices. Vijayan argued that acquiring property near Kannur airport was a necessary long-term step to prevent severe land shortages, pointing to current expansion hurdles around airports in Kochi, Thiruvananthapuram, and Calicut. Defending KIIFB's broader role, Vijayan warned that dismantling the agency would jeopardise 1,500 public infrastructure projects. He urged the administration "not to view it from the point of profit generation as it is an investment in public welfare".

Housing grants increased and job offers approved

In major relief for vulnerable communities, the cabinet sanctioned increased financial assistance under special housing schemes. Housing grants for Scheduled Caste and Fisherfolk families were raised from ₹4 lakh to ₹6 lakh, while assistance for Scheduled Tribe families increased from ₹6 lakh to ₹8 lakh.

The cabinet also approved government employment for Athulya, the daughter of Sudhakaran, who was killed in the Nenmara double murder case, alongside educational aid for her sister Akhila. Furthermore, an official job was granted to shooter Vidarsha K. Vinod in recognition of her two silver medals at the 2026 Asian Games.

Lawmaker salary revision, iPads and police reforms

The cabinet approved a legislative bill to increase the salaries and allowances of state ministers and MLAs by up to 35 percent, marking the first revision since 2018. To modernise official work, the government sanctioned ₹6.70 crore to purchase 480 iPads for ministers and personal staff.

In police reforms, the cabinet increased the female recruitment ratio for constable posts from 10 percent to 30 percent (changing the male-to-female ratio from 9:1 to 7:3) and reported 48 Sub-Inspector vacancies to the Public Service Commission. Finally, following recommendations from the State Backward Classes Commission, the Pattariya and Saliya communities were formally included in the state's Other Backward Classes (OBC) reservation list.