Leaders of the ruling UDF and opposition LDF in Kerala on Thursday denied allegations of receiving illegal payments from mining company Cochin Minerals and Rutile Limited (CMRL), after the BJP levelled the charge against both fronts.
Health Minister K Muraleedharan acknowledged receiving election funding from CMRL managing director Sasidharan Kartha several years ago while contesting an election, but said there was a distinction between election funding and illegal gratification.
"There is nothing to hide. Years ago, during the election, support was given," he told reporters.
Muraleedharan said political parties routinely receive donations during elections and claimed that CMRL had contributed to various parties in Kerala.
"When elections come, people help us. If you look at the list of those who accepted donations, donations were given to every party in Kerala," he said.
His remarks came after BJP state vice president Shone George alleged that UDF and LDF leaders had received funds from CMRL and claimed this had prevented the state government from ordering a proper investigation against Leader of Opposition Pinarayi Vijayan following an Enforcement Directorate recommendation over alleged payments made by the company to his daughter Veena T.
The ED has alleged that CMRL made fraudulent payments of Rs 2.78 crore to Veena's now-defunct company, Exalogic Solutions, under the guise of IT consultancy services.
The Kerala government recently decided to order a police inquiry instead of a Vigilance probe based on an ED report into alleged money-laundering transactions involving former chief minister Vijayan, his daughter Veena and former minister P A Mohamed Riyas.
Muraleedharan said the state government had not blindly accepted the ED's allegations.
"The government in Kerala is not one that blindly believes just because the Enforcement Directorate said so. Let the preliminary inquiry proceed in that manner. No matter what they inquire, there is no issue at all," he said.
BJP state president Rajeev Chandrasekhar said the allegations should be discussed publicly and questioned why an FIR had not been registered or a Vigilance inquiry ordered despite evidence allegedly submitted by the ED.
"The public is asking why that is. It is truly a valid question. Today, as our leader Shone George said, the question is whether money was given to today's CM. He is the one who should provide an answer to that. Why an FIR is not being filed should be answered by the Home minister and the chief minister," Chandrasekhar said.
He also alleged that corruption under the CPI(M) was continuing under Congress rule and accused both fronts of being soft on corruption.
CPI state secretary Binoy Viswam said no party leader had accepted funds except through proper channels.
"One thing is for sure, except through proper means, no one in the Communist Party would have accepted any funds. Elections, party conferences—other than for these, it can be stated that no one in CPI has accepted money from any businesspersons for anything else," he said.
Viswam said the CPI would not remain a silent spectator if there was a political attempt to target the LDF or CPI(M) in the CMRL case.
Independent MLA G Sudhakaran, a former CPI(M) leader, said he did not know how his name had figured in the list and said he would not file a defamation suit against George.
Sudhakaran said Kartha had approached him and CPI(M) leaders seeking permission to mine mineral sands along the Alappuzha coast, but permission was not granted.
"He bought land there. He gave money to some people there, bought them cars. Everyone knows all that. Right? It's not something unknown... there's no need to say it," he alleged.
Sudhakaran also alleged that CMRL had offered funds to the party but said he had refused to accept them.
Chief Minister V D Satheesan and Industries Minister P K Kunhalikutty declined to comment on the allegations.
(With inputs from PTI)