The Ministry of Corporate Affairs on Thursday granted permission for prosecution proceedings against Veena Vijayan, daughter of Kerala Chief Minister Pinarayi Vijayan, in the Cochin Minerals and Rutile Ltd (CMRL) monthly payment case. This decision is based on a charge sheet filed by the Serious Fraud Investigation Office (SFIO).

The ministry has approved the prosecution of Veena Vijayan, CMRL Managing Director Sasidharan Kartha, and CMRL Chief General Manager of Finance P Suresh Kumar, among others.

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The charges have been leveled against Veena Vijayan’s company, Exalogic Solutions, CMRL Managing Director Sasidharan Kartha, CMRL Chief General Manager of Finance P Suresh Kumar, and a sister company. It has been found that Veena Vijayan received Rs 2.70 crore from CMRL without providing any services.

Veena Vijayan and Exalogic Solutions are accused of illegally receiving Rs 2.70 crore from CMRL and another company, Empower India.

Veena Vijayan, Sasidharan Kartha, Exalogic Solutions, and CMRL have been charged under Section 447 of the Companies Act, which pertains to financial fraud. This section allows for imprisonment ranging from six months to ten years and a fine amounting to three times the embezzled sum.

With the prosecution application now sanctioned, trial proceedings can commence at the Economic Crimes Court in Kochi. Summons will soon be issued to the accused, including Veena Vijayan. Additional charges have also been filed against Sasidharan Kartha and members of the CMRL board of directors.

In January 2024, the Ministry of Corporate Affairs issued an order handing over the probe into the affairs of Exalogic Solutions, the firm owned by Chief Minister Pinarayi Vijayan’s daughter Veena Vijayan, as well as Cochin Minerals and Rutile Ltd (CMRL) and the Kerala State Industrial Development Corporation (KSIDC) to the Serious Fraud Investigation Office (SFIO).

The Income Tax Interim Settlement Board (ITISB) has found that Rs 1.72 crore was given to Veena Vijayan’s firm, Exalogic Solutions, by CMRL without the provision of any services.