The Kerala High Court refused BJP leader Shone George’s request for all SFIO investigation documents in a corporate fraud case involving CM Pinarayi Vijayan’s daughter. The Court directed the sessions court to reconsider his application with detailed reasoning.
Kochi: On August 13, the Kerala High Court decided not to give Bharatiya Janata Party (BJP) leader Shone George copies of all the documents submitted by the Serious Fraud Investigation Office (SFIO) in its probe into a corporate fraud case linked to Kerala Chief Minister Pinarayi Vijayan’s daughter.
The case involves allegations related to Cochin Minerals and Rutile Ltd. (CMRL) and Exalogic Solutions Pvt. Ltd., an IT company owned by the CM’s daughter Veena Thaikkandiyil.
Justice VG Arun passed the order after hearing petitions filed by CMRL. The company had challenged earlier orders of a sessions court that had allowed Shone George to access these documents.
While refusing to grant George immediate access, the High Court directed the sessions court handling the matter to reconsider his application for the documents and to pass detailed, reasoned orders. A full copy of the judgment is still awaited.
CMRL is a public limited company that started in 1989. It manufactures value-added products such as synthetic rutile, ferrous chloride, and ferric chloride.
The controversy began after an Income Tax report allegedly revealed that CMRL made illegal payments of large amounts to Exalogic Solutions Pvt. Ltd., owned by Veena Thaikkandiyil.
Several petitions were filed earlier asking for vigilance probes into the matter, but these were rejected both by vigilance courts and later by the Kerala High Court.
In 2023, Shone George approached the High Court seeking an SFIO probe into the allegations. While this matter was still pending, the Central government, under provisions of the Companies Act, ordered an SFIO investigation into Exalogic Solutions.
Following its investigation, the SFIO filed a chargesheet naming CMRL, its Managing Director Sasidharan Kartha, Exalogic Solutions, and Veena Thaikkandiyil as accused, along with others. Later, the Ministry of Corporate Affairs gave sanction for prosecution against all accused persons.
According to the SFIO, multiple violations of the Companies Act, 2013 were committed. It claimed that fraudulent expenses were recorded without any actual services or costs involved.
The most serious allegation is that fraudulent payments of Rs 2.7 crore were made to Veena Vijayan and her company Exalogic Solutions, where she is a director. The SFIO alleged that these payments were made
“without any actual services being rendered.”
Veena Thaikkandiyil has been charged under Section 447 of the Companies Act, which deals with punishment for fraud. This provision allows imprisonment for up to 10 years and a fine of up to three times the fraud amount.
Also Read: Kerala HC Seeks Response from CM Pinarayi Vijayan & Daughter on Congress MLA’s Petition
Other accused persons have also been charged under Sections 447, 448 (punishment for false statements), 129 (financial statements), and 134 (board’s report and related matters) of the Companies Act.
The Additional District and Sessions Court–VII, Ernakulam had taken cognizance of the SFIO complaint and issued summons to all accused, including CMRL. However, the High Court later stayed these proceedings through an interim order, which will remain in force until September 2025.
After this, Shone George approached the sessions court seeking a certified copy of the SFIO investigation report along with all annexed documents.
While the sessions court allowed him to get the investigation report, it refused to give copies of the annexures. George then moved the High Court asking for these documents as well.
On the other side, CMRL also approached the High Court challenging the sessions court’s order that allowed George access to the SFIO report.
The company argued that George is
“merely projecting himself as a whistle blower” to gain access to sensitive documents, while his “true intentions are political in nature.” CMRL further alleged that George planned to share the information with the media and that giving him these documents “would impede the due administration of justice.”
CMRL was represented by advocates John S Ralph, Vishnu Chandran, Ralph Reti John, Giridhar Krishna Kumar, Geethu TA, Mary Greeshma, Liz Johny, and Krishnapriya Sreekumar. Shone George was represented by advocates Mariya Rajan, Shinu J Pillai, S Suja Ann Mariya John, and Felix Samson Varghese.
Meanwhile, another petition filed by George seeking further investigation into the allegations is still pending before the High Court. On July 23, the court issued notices to CMRL, Exalogic Solutions, Veena Thaikkandiyil, Sasidharan Kartha, P Suresh Kumar, KS Suresh Kumar, Saran S Kartha, KA Saghesh Kumar, Muraleekrishnan AK, Nipuna International Pvt Ltd, Sasja India Pvt Ltd, and Anil Ananda Panicker in connection with this matter.
Case Title:
Shone George v. Union of India; Cochin Minerals and Rutile Ltd.(CMRL) v. State of Kerala & Anr.
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