Kochi: The Directorate of Enforcement (ED) has summoned CPM Parliamentarian K Radhakrishnan in connection with the Karuvannur Cooperative bank scam in Thrissur in Kerala.
Radhakrishnan was directed to appear at ED’s Kochi office yesterday. Since he is in New Delhi in connection with the Parliament session, he could not turn up for the questioning.
Radhakrishnan was the party’s district secretary when money was transferred into CPM account from the bank.
Karuvannur Cooperative Bank has been a CPI(M) controlled bank for over 40 years. A forensic examination of the accounts found that there was an embezzlement of Rs 300 crore from the bank. Various inquiries, including the one carried out by the Crime Branch, revealed extensive fraudulent activities under the two governing boards of the CPI(M) in the Karuvannur bank.
Karuvannur Service Cooperative Bank Ltd is not under Banking Regulation Act or RBI. It is registered as a Primary Agricultural Credit Society under state cooperative societies is act. It is not a bank but society ruled by political party members.
There are over 1,500 service cooperative banks and most of which do not repay even deposits which are not insured by Deposit Insurance Corporation.
ED summons K Radhakrishnan, MP
