ED searches Cooperative Banks in 3 Kerala districts over financial irregularities

Thiruvananthapuram: The Enforcement Directorate (ED) on Wednesday conducted searches at three cooperative banks and the residences of their officials, former employees and governing body members in Kerala as part of investigations into suspected financial irregularities and money laundering.

The searches were carried out simultaneously across Thrissur, Ernakulam and Kozhikode in cases registered under the Prevention of Money Laundering Act (PMLA).

ED teams began the operation at around 6.30 a.m., with officers from Kerala and Tamil Nadu participating in the searches. The operation covers the Angamaly Urban Cooperative Bank in Ernakulam, the Kuttanellur Service Cooperative Bank in Thrissur and the Thennala Service Cooperative Bank in Kozhikode.

The agency is searching bank premises as well as the homes of members of the institutions’ governing bodies, current and former employees and other individuals linked to the banks.

The searches at Angamaly Urban Cooperative Bank are connected to alleged financial irregularities involving about Rs 121 crore, which the ED had earlier detected in connection with fraudulent loans. The agency is now examining the financial trail and the alleged roles of individuals linked to the transactions.

The residence of Shiju, a former employee and accountant of the Angamaly bank, is also being searched. The ED has alleged that he was among those involved in processing the fraudulent loans.

In Thrissur, searches are being conducted at five locations associated with the Kuttanellur Service Cooperative Bank. The bank’s branches at Ancherichira, West Anchery and Padavarad are among the premises being searched. The agency is also examining the residences of the bank’s former president and governing body members.

In Kozhikode, the ED has launched searches at seven locations linked to the Thennala Service Cooperative Bank.

The latest action forms part of the ED’s wider investigation into alleged financial irregularities in Kerala’s cooperative banking sector. During the searches, officials are expected to examine loan files, financial transactions, account records and other documents to trace the movement of funds and establish the roles of those under investigation.