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CBI raids houses of Lakshadweep MP Faizal, nephew in tuna export case
The checks showed that during the year 2016-17, Faizal gave a false assuranceto LCMF that a foreign buyer SRT General Merchants Importers and Exporters is willing to import dried tuna fish at a higher price than the prevailing rate, according to the CBI FIR.
The Central Bureau of Investigation (CBI) on Tuesday raided the residences of Lakshadweep MP Mohammed Faizal and his nephew Abdul Raziq after registering a case against them for alleged irregularities in the export of tuna fish to Sri Lanka, people familiar with the development said. The Nationalist Congress Party (NCP) leader has denied the allegations.
The CBI, in its first information report (FIR), registered on Monday, named Colombo-based SRT General Merchants, which is represented by Raziq, and MP Anwar, a former managing director of Lakshadweep Co-operative Marketing Federation Ltd (LCMF).
On Tuesday, several teams of the agency carried out simultaneous raids across six places, including Faizal’s residences in Delhi, Calicut and Lakshadweep, apart from other accused persons.
In the last week of June, CBI had conducted a joint surprise check, along with local authorities, on Faizal, Razik and the other accused, after getting inputs of the alleged corruption, the FIR stated.
The checks showed that during the year 2016-17, Faizal gave a false assuranceto LCMF that a foreign buyer SRT General Merchants Importers and Exporters is willing to import dried tuna fish at a higher price than the prevailing rate, according to the CBI FIR.
Following this, the Board of Directors of the LCMF, in its meeting on November 21, 2016, decided to procure the fish from the locals. They procured 287 MT of the fish from different islands of Lakshadweep through co-operative societies of islands, with the assurance that fishermen would get prices higher than the prevailing market rate ( ₹650 per kg against the prevailing rates of ₹250 per kg), the FIR said.
The FIR further said that Anwar allegedly didn’t follow the norms, and without floating any tender and merely relying on the false assurance from Faizal, proceeded with the purchase.
Faizal allegedly fixed the tuna fish exporter Accelerated Freeze Drying Company (AFDC) based in Kochi, Kerala through LCMF for exporting the fish. However, the project did not materialise due to the AFDC’s refusal as it did not receive ₹60 lakh for the first consignment of the fish, which was to be exported to the Sri Lankan company.
“The company AFDC, Cochin suffered a loss of ₹60 Lakh approximately, and also it did not continue the lifting of fish through LCMF, as per the agreement. Finally, AFDC faced the loss of ₹60 lakhs, the poor fishermen of Lakshadweep Islands and LCMF have faced the loss of money to the tune of ₹9 crore (approx.),” the FIR stated.
Reacting to the CBI case, Faizal said, “Everything (about my finances) is there in my election affidavit. There is no irregularity. The decision (related to fish export) has been taken only in the best interests of fishermen of Lakshadweep”.
