Kochi: Kunnathunad MLA PV Sreenijin is likely to face Income Tax (IT) department’s action in connection with his alleged unaccounted financial transactions with a film producer.

Last week, the IT department quizzed him on the matter. Later, Sreenjin told 'Mathrubhumi News' that he had received a loan of Rs 65 lakh from the film producer, which he duly returned.

However, according to IT department sources, Sreenijin had given money to the producer. They claimed that he had given around Rs 1 crore and received almost double the amount as interest. The money was not directly transferred to Sreenjin’s account, but it was transferred to accounts of employees associated with the gardening-related company, in which he holds a director post. The money transfer happened in a monthly manner, they added. 

The transactions happened in 2013. Last December, the IT department raided the houses of prominent actors and producers. The financial transactions and statements of the film producer came to light, and it led to Sreenijin.