In a partial relief for the LDF government, Kerala High Court on Tuesday stayed for two months the CBI probe into the alleged Foreign Contribution Regulation Act (FCRA) violation against the LIFE Mission, which handles the state government’s housing project envisaging total housing for the homeless.

However, the court has not stayed the investigation against other accused, which include private contractors who got the tender.

A single bench of Justice V G Arun passed the stay order in the petitions filed by U V Jose, CEO of the LIFE Mission Project, and Santhosh Eappen MD of Unitac, seeking to quash the FIR registered by the CBI alleging violations of the FCRA over the receipt of foreign contributions from the United Arab Emirates for the construction of housing units for flood victims at a plot in Vadakkancherry in Thrissur district.

Justice Arun said there was no reason to interdict the investigation in the FIR-RC No 5 (A) /2020/CBI/ACB/Cochin.

At the same time, the provisions of the FCRA and the materials on record do not justify the implication against LIFE Mission. The project, aimed at building free houses for poor, got into a controversy after the NIA seized Rs 1 crore cash and two kg gold from the bank locker of gold smuggling case accused Swapna Suresh in July.