The Kerala High Court has given permission to the Enforcement Directorate (ED) to continue its investigation into Cochin Minerals and Rutile Limited (CMRL), rejecting the company’s request to stop the probe. This decision is crucial as ED Director Rahul Navin is in Kochi for a high-level meeting with senior officials.
A Division Bench of Justices Raja Vijayaraghavan V. and K.V. Jayakumar dismissed CMRL’s appeal challenging a previous order that denied halting the ED investigation. The court also refused CMRL’s request for a two-week extension to approach the apex court.
CMRL argued that the ED needed to register a predicate offence to start proceedings, but the court ruled that only a scheduled offence is necessary for criminal prosecution, not for civil actions like property attachment under the Prevention of Money Laundering Act (PMLA). Additionally, the court upheld the Enforcement Case Information Report (ECIR) as not mandatory, allowing the ED to proceed with civil actions even without it.
This ruling strengthens the ED’s investigation into CMRL over alleged financial irregularities, bribery, and money laundering. The company, based in Kerala, specializes in synthetic rutile and industrial chemicals manufacturing. The case has political implications due to accusations of illegal payments to Exalogic Solutions Pvt. Ltd., an IT firm associated with Veena Thaikkandiyil, daughter of former Chief Minister Pinarayi Vijayan.
