In a synchronized operation, the Income Tax Department conducted an investigation into the Karuvannur Cooperative bank fraud case. They took statements from M M Varghese, the district secretary of the Communist Party of India (Marxist) (CPM) in Thrissur, at Kochi. At the same time, raids were held at the Bank of India premises near the Thrissur District Committee Office.
The Communist Party of India (Marxist) is a communist political party in India. It is the largest communist party in India in terms of membership and electoral seats, and one of the national parties of India.
The Karuvannur Cooperative Bank fraud is a significant controversy that has rocked Kerala. The fraud involves a sum of Rs 100 crore and has had a significant impact on the ruling Communist Party of India (Marxist) (CPI(M)) as the bank’s board had members of the party . The fraud includes faked signatures, benami transactions, remortgaged properties, and several people receiving collection notices for amounts they never borrowed.
Tip-off and Raid at CPM Office
Acting on a tip-off that the CPM may have a secret account with a substantial amount of Rs 3.8 crore in the bank, five officers from the Thrissur unit of the Income Tax Department conducted a raid at the office. The raid commenced at 12 pm and lasted until late night on Friday. During the raid, bank officials were not permitted to leave the premises.
Statements from Varghese
Additionally, the Income Tax Department took statements from Varghese after he was interrogated by the Enforcement Directorate (ED) in relation to the same case. The Department’s investigation team arrived at 6.30 pm with a warrant and proceeded to obtain Varghese’s statement after three hours of questioning. However, it is reported that the officials left without receiving satisfactory statements from Varghese regarding the omission of Bank of India account details in his income tax returns. Moreover, his phone was confiscated by the officials.
According to sources within the Income Tax Department, neither the CPM nor its Thrissur district secretary had disclosed the existence of the account with a substantial amount of money in any official records.
