Kochi, Aug 23 The Serious Fraud Investigation Office (SFIO) has asked eight officials attached to the Kochi-headquartered mining firm CMRL to appear at their Chennai office next week in connection with a case involving the IT Firm Exalogic, which is owned by Chief Minister Pinarayi Vijayan's daughter, Veena Vijayan.
These top officials have been asked to report to the agency with all documents pertaining to the Rs 1.72 crore transactions that CMRL had with Exalogic, sources on Friday.
Apart from the SFIO, the Enforcement Directorate is also probing the CMRL, Exalogic and about a dozen companies in Kerala which had done business with Veena Vijayan’s IT firm.
The case proceedings had gone slow after April 26 in view of the Lok Sabha polls. Before the elections, the SFIO had completed a few rounds of questioning and had taken statements from CMRL, officials of the other firms and also from the officials of the Kerala State Industrial Development Corporation (KSIDC), which has around 13 per cent stake in CMRL.
The SFIO is acting on the findings of the preliminary probe into the company conducted by the Registrar of Companies (ROC), early this year.
Prior to the ROC investigation, this issue was first raised by Congress MLA Mathew Kuzhalnadan on the basis of a media report, quoting an Income Tax Settlement Board saying that Exalogic had received Rs 1.72 crore from the mining company CMRL.
Attempts to put a brake on the probe suffered a setback with both the Karnataka and Kerala High Courts dismissing pleas from Veena Vijayan and KSIDC to quash the probe.
But, now with the SFIO asking for appearances, the CMRL has approached the Delhi High Court with a plea to prevent any arrest of its officials who will appear before the agency next week.
CMRL officials have been asked to appear with the business contracts, invoices and all documentary evidence of the business done with Exalogic.
The case came up after an Income Tax Department probe allegedly found that a private company called Cochin Minerals And Rutile Ltd (CMRL) made an illegal payment of Rs 1.72 crore to Veena Vijayan's company -- Bengaluru-based Exalogic. The payment was made to the IT firm even though the company didn't provide any service to her firm, it was alleged.
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