T Veena’s firm moves Karnataka HC over SFIO probe

The development came amid reports that SFIO will serve notice to Veena to appear for questioning in connection with the case

The IT firm, Exalogic Solutions, owned by Kerala chief minister Pinarayi Vijayan’s daughter T Veena, moved the Karnataka high court on Thursday seeking a stay on the probe by the Special Fraud Investigation Office (SFIO) into it, officials familiar with the matter said.

Officials of the central agency have already visited the offices of CMRL and KSIDC, a state-run entity which has a stake in CMRL (HT)

Earlier this month, the Union government handed over the probe into alleged irregularities in financial transactions of the firm owned by Veena , to the SFIO and asked it to submit a report within eight months.Exalogic Solutions Limited, a Bengaluru-based firm, moved the court in the middle of the SFIO probe into the company’s suspicious financial transactions with Cochin Minerals and Europe Limited (CMRL).

The development came amid reports that SFIO will serve notice to Veena to appear for questioning in connection with the case. Officials of the central agency have already visited the offices of CMRL and KSIDC, a state-run entity which has a stake in CMRL.

The Income Tax Interim Settlement Board had ruled last year that Exalogic received funds to the tune of ₹1.72 crore in the span of three years from CMRL even though the former has rendered no services. Such payments could not be treated as business expense by the CMRL, the Board had ruled.

Opposition parties in Kerala, including Congress and BJP had earlier alleged that the money was kickback or bribe as Veena was connected to an important political figure.The CPI(M) as well as CM Vijayan have termed the allegations “baseless”.