The Serious Fraud Investigation Office (SFIO) has recorded the statement of Veena Vijayan, the daughter of Kerala Chief Minister Pinarayi Vijayan, as part of an investigation into alleged illegal financial transactions involving her IT firm, Exalogic.
Statement Recorded by SFIO
- Event Date: Veena Vijayan appeared before the SFIO office in Chennai, located in Rajajisala, last Wednesday.
- Investigating Officer: Her statement was recorded by SFIO’s Arun Prasad.
- Accompanied by Husband: Veena’s husband, Mohamed Riyas, Kerala’s Minister of Public Works and Tourism, was also in Chennai on the same day.
- Return to Thiruvananthapuram: The couple returned to Thiruvananthapuram later that night.
Allegations of Illegal Financial Transactions
- Income Tax Department Report: Controversy erupted after a media report, quoting an Income Tax Department official, claimed that Veena’s company, Exalogic, received Rs 1.72 crore from the mining company CMRL.
- Clarification by Veena: Veena clarified that the payments were made for legitimate software services provided by Exalogic to CMRL.
Political Impact
- Opposition’s Accusation: The opposition in Kerala accused Chief Minister Pinarayi Vijayan and his family of corruption following the media report.
- Start of SFIO Probe: The SFIO began its investigation into the matter in January 2024, adding further political heat to the situation.
Investigation Progress
- Information Collection: SFIO has collected documents from Exalogic on multiple occasions.
- Final Report: The SFIO is expected to submit its final report to the court next month.
- Source of Complaint: The investigation was initiated based on a complaint by Shaun George, who accused Veena and her company of illegally receiving money from CMRL.
Regulatory and Legal Actions
- Registrar of Companies Investigation: The investigation into Exalogic started when the Registrar of Companies launched a probe on the order of the Union Ministry of Corporate Affairs.
- SFIO’s Expanded Role: SFIO later took over the investigation and requested documents from both the Kerala State Industrial Development Corporation (KSIDC) and CMRL.
- Legal Challenge: Exalogic and KSIDC approached the court to challenge the ongoing investigation.
Multiple-Choice Questions (MCQs):
- Who recorded the statement of Veena Vijayan in connection with the investigation?
- a) Income Tax Department
- b) Serious Fraud Investigation Office (SFIO)
- c) Kerala State Industrial Development Corporation (KSIDC)
- d) Central Bureau of Investigation (CBI)
- Answer: b) Serious Fraud Investigation Office (SFIO)
- What is the name of Veena Vijayan’s IT firm involved in the alleged illegal transactions?
- a) Exalytics
- b) Exalogic
- c) Exatech
- d) Excelsior
- Answer: b) Exalogic
- How much money was Veena’s firm accused of receiving from the mining company CMRL?
- a) Rs 1.50 crore
- b) Rs 1.72 crore
- c) Rs 2.5 crore
- d) Rs 3 crore
- Answer: b) Rs 1.72 crore
- Which organization initially launched the investigation against Exalogic?
- a) Registrar of Companies
- b) SFIO
- c) Central Bureau of Investigation (CBI)
- d) Kerala High Court
- Answer: a) Registrar of Companies
- What was Veena Vijayan’s clarification regarding the payments from CMRL?
- a) The payments were for illegal services.
- b) The payments were for software services provided by Exalogic.
- c) The payments were for consultancy services.
- d) The payments were personal gifts.
- Answer: b) The payments were for software services provided by Exalogic