Kerala Assembly | UDF boycotts House proceedings after Speaker disallows adjournment notice on SFIO probe into IT firm headed by Chief Minister’s daughter

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Kerala Chief Minister Pinarayi Vijayan (file)
| Photo Credit: THULASI KAKKAT

The Congress-led United Democratic Front (UDF) boycotted Kerala Assembly proceedings on February 2 (Friday) after Speaker A.N. Shamseer sternly declined to entertain the Opposition’s adjournment notice seeking the leave of the House to debate a Serious Fraud Investigation Office (SFIO) enquiry against the now-dormant IT company owned by Chief Minister Pinarayi Vijayan’s daughter, T. Veena.

Mr. Shamseer’s stringent ruling that Rule 53 of the Kerala Assembly’s Rules of Procedure and Conduct of Business precluded any discussion on a subject under the consideration of the judiciary or a statutory body with investigative powers drew a vociferous protest from the UDF.

Opposition members raised banners accusing Mr. Vijayan of corruption and nepotism. Mr. Shamseer also cut off Leader of the Opposition V.D. Satheesan from making a case for an adjournment debate.

Speaking to reporters outside the Assembly precincts later, Mr. Satheesan accused Mr. Vijayan of breaching parliamentary privilege by “misleading” the House about Ms. Veena’s alleged financial shenanigans.

He said Mr. Vijayan sermonised about the pitfalls of monetary greed instead of answering the Opposition’s questions about the SFIO probe.

Mr. Satheesan claimed that the Income Tax Interim Settlement Board in New Delhi and, later, the Registrar of Companies (ROC) in Karnataka, both statutory bodies, found that Ms. Veena’s IT consultancy firm had received a sizeable retainer fee from a Kochi-based mining firm “without rendering any tangible service.”

Mr. Satheesan said the ROC (Karnataka) recommended a Central Bureau of Investigation (CBI) or Enforcement Directorate (ED) inquiry into the transactions between the two companies during the 2017-2021 period after Ms. Veena “failed” to make a genuine case before the statutory body.

Later, he said, the SFIO also stepped in, given the case’s gravity and public interest nature.

Mr. Satheesan also reprised his accusation that the IT firm operated a shell company for laundering political backhanders.

He accused Mr. Vijayan, his family, and his office of illicit enrichment and nepotism.

Mr. Satheesan said the SFIO investigation also covered the Kerala State Industrial Development Corporation (KSIDC), a State-owned entity.

‘Of public interest’

He said the KSIDC was on the board of directors of the mining firm, and hence, the matter was of paramount public interest.

Earlier, the Congress had alleged that the KSIDC had “intriguingly” forsaken its 14% shareholder profit from the mining firm and demanded a public explanation from Industries Minister P. Rajeeve.

On February 1, Mr. Vijayan told the House that his daughter had floated her company with her mother’s retirement benefits and savings. He said his “hands were clean”, and such smear campaigns would not dent his self-esteem.

Notably, the UDF’s decision to abstain from House proceedings came an hour before the government tabled a resolution slamming the Centre for allegedly trespassing on the fiscal and jurisdictional powers of the State. The ruling front had hoped to get bipartisan support for the motion.

Nevertheless, the UDF’s eschewal of the day’s business forced the ruling front to adopt the resolution unilaterally.

Mr. Shamseer adjourned the House until February 5.

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