Thiruvananthapuram: The situation seems too murky for Veena Vijayan, daughter of Chief Minister Pinarayi Vijayan, as the Enforcement Directorate too plans to tighten the noose following the charge sheet submitted by the Serious Fraud Investigation Office (SFIO) in connection with the CMRL–Exalogic deal.

According to a report published in The Indian Express, the ED is preparing to register a money laundering case against the Chief Minister's daughter. Earlier, the SFIO had filed a charge sheet against Veena and others in connection with the CMRL–Exalogic transaction. Following this, the ED is reportedly getting ready to register a case.

A senior ED official revealed that they had sent a letter to the SFIO seeking the documents related to the case. The charges filed in the SFIO’s charge sheet fall under offences included in the Prevention of Money Laundering Act (PMLA). The senior ED official reportedly said that a case would be registered after examining the documents.

The SFIO had previously filed a charge sheet naming Veena and others as accused in the CMRL–Exalogic transaction. The Union Ministry of Corporate Affairs has also granted permission to prosecute Veena in the case.

An investigation by the Income Tax Department and the subsequent verdict by the Interim Settlement Board found that ₹1.72 crore was received by Veena and her company without providing any service. The investigation found that the private mineral sand company CMRL committed a fraud worth ₹197.7 crore, including payments made in this manner to Veena, her company and political leaders.

The companies Nipuna International Private Limited and Sasja India Private Limited, which were found by the SFIO to be involved in the fraud, are reportedly run by family members of Sasidharan Kartha.

It was in January 2024 that the SFIO, the premier agency for corporate investigations, took over the inquiry. Other accused in the case include CMRL’s CGM P. Suresh Kumar, Chief Finance Manager K. Suresh Kumar and auditors K. A. Sagesh Kumar and A. K. Muralikrishnan. The name of Empower India Capital Investment Private Limited also appears in the charge sheet.

The charges against Veena fall under Section 447 of the Companies Act. The same charge has also been made against CMRL MD Sasidharan Kartha, Joint Managing Director Saran S. Kartha and the companies owned by both Veena and the Karthas. This offence can carry a prison term of up to ten years and a fine equal to or up to three times the amount obtained through fraud. The trial will be held in the special court handling financial cases in Kochi.