ED writes to EC for details on SDPI funding
The SDPI was founded in 2009, and is registered with ECI as a political party, but ED has alleged that it is funded by PFI.
The Enforcement Directorate (ED) has written to the Election Commission of India seeking details of the funding and expenditure of Social Democratic Party of India (SDPI) over the years, as part of its crackdown on the political arm of now-banned Popular Front of India (PFI), people familiar with the development said on Saturday.
PFI was banned by the Centre under the stringent Unlawful Activities (Prevention) Act (UAPA) in September 2022, calling it an unlawful association and for allegedly indulging in terrorist activities. The ban followed a crackdown by ED and the National Investigation Agency (NIA), which led to arrests and recovery of purported incriminating documents from offices and residences of the outfit’s office-bearers.
The SDPI was founded in 2009, and is registered with ECI as a political party, but ED has alleged that it is funded by PFI.
The federal agency’s letter, sent to ECI this week, coincides with its back-to-back raids at SDPI offices across the country and arrest of two senior members, including its national president M K Faizy, over the last three weeks.
“We have written a letter to the EC requesting details on SDPI’s election expenditure as well as funding received by it over a period of time, including donations,” an officer aware of the matter said, requesting anonymity.
According to ED’s submission in a Delhi court after Faizy’s arrest, SDPI is nothing but a political front of PFI and was dependent on the latter for its “day-to-day functions, policy making, selecting candidates for election campaigns, public programs, cadre mobilisation, and other related activities”.
“The overlapping membership of cadres of PFI-SDPI, involvement of PFI office bearers in the founding of SDPI, utilization of each other’s assets and their statements under Section 50 of PMLA evidence the deep-rooted nexus between these two organisations and that SDPI is a front organisation through which PFI has been carrying out its anti-national and criminal activities even while overtly taking a stand that PFI is a social welfare organisation,” the submission said.
Sharing details of an alleged modus operandi of funding of SDPI, ED said in a statement on Friday after the arrest of Wahidur Rahman Jainullabudeen (a physical trainer of PFI who was associated with SDPI as well) - “Analysis of SDPI’s bank accounts revealed that substantial amounts were transferred by various individuals from their bank accounts to SDPI accounts which are shown as donations”.
“However, further scrutiny revealed that equivalent amounts of cash were deposited into these individuals’ accounts immediately before the transfer to SDPI. The cash deposit slips obtained from the bank revealed that Wahidur Rahman was the one depositing these amounts in cash in the accounts of various other persons who have in turn transferred the same to SDPI Bank accounts. Additionally, Wahidur Rahman himself transferred funds to SDPI, after depositing cash of equivalent amounts in his account,” the statement added.
A second officer cited above said they are “looking at the pattern of funding of SDPI, not just in India, but several other countries”.
The agency has so far identified proceeds of crime worth ₹4.07 crore, which was allegedly transferred from PFI to SDPI.
Other than two SDPI members arrested this month, ED has, to date, arrested 26 members of PFI and filed nine charge sheets, besides attaching assets worth ₹61.72 crore.
