Kerala HC orders FIR against former Chief Minister Pinarayi Vijayan in CMRL payoff case

The Kerala High Court on Friday ordered the registration of an anti-corruption case against former Chief Minister Pinarayi Vijayan, his daughter, and his son-in-law over allegations of illegal payments from a private mineral company.

Justice A. Badharudeen directed the state police to file a First Information Report (FIR) under anti-graft laws, acting on a report compiled by the Enforcement Directorate (ED). The decision moves the long-running controversy into a formal criminal investigation, bypassing the preliminary police inquiry that the state government had insisted was necessary.

The ruling came in response to a petition by advocate K.M. Shajahan, who argued that the police should register a case immediately rather than delay the process with a fresh preliminary probe. A detailed written judgment explaining the court's legal reasoning is still awaited.

What the investigation alleges

At the heart of the dispute is Cochin Minerals and Rutile Limited (CMRL), a private firm that the ED alleges made fraudulent payments totalling ‣2.78 crore to Exalogic Solutions, an IT firm owned by Mr Vijayan's daughter, T. Veena. The federal agency claims these transactions, disguised as fees for "IT consultancy services," were actually pay-offs. Exalogic Solutions has since shut down.

Alongside the former Chief Minister and his daughter, the order also targets his son-in-law, P.A. Mohamed Riyas, who is a former state minister.

Clash over the ED report

During the hearings, a sharp disagreement arose between the ED and the Kerala state government over how to handle the federal agency's findings. The ED told the court that its report, which was sent to the state police chief, contained substantial evidence gathered during its money laundering investigation and searches. The agency argued this report was comprehensive enough to serve as a preliminary inquiry in its own right, allowing the police to register an FIR straight away.

The state's Congress-led UDF government opposed this path. While the state administration had recently ordered a police inquiry after receiving the ED's findings, its lawyers argued in court that the federal report alone did not meet the legal threshold for an immediate FIR. They maintained that the local police had to conduct their own preliminary assessment first.

By ruling in favour of the petitioner, the High Court has rejected the state's objections, effectively forcing the local police to initiate a formal criminal investigation based on the federal agency's files.