Thiruvananthapuram: K A Ratheesh has resigned as Secretary of the Khadi Board, Khadi Welfare Fund Board and Managing Director of Rutronix. The resignation came following the Chief Minister's directive.

Ratheesh is an accused in the alleged ₹600-crore corruption case related to cashew imports involving the Cashew Corporation.

With the trial set to begin soon, the government reportedly assessed that allowing an accused to continue in key official positions would put it in an embarrassing position. The Kerala High Court had recently come down heavily on the government over the continuation of a CBI charge-sheeted accused in such important posts. Following the court's observations, the Chief Minister directly intervened and asked Ratheesh to resign.

The government had earlier granted sanction to prosecute Ratheesh in the corruption case. The High Court questioned how an accused awaiting trial in a graft case could continue to head three major government institutions. The court also criticised the lack of action even after the change of government in a case that has remained controversial since the tenure of the previous administration.