KOCHI: The Enforcement Directorate (ED) probing Foreign Exchange Management Act (FEMA) violations in the financial dealings of the Kerala Infrastructure Investment Fund Board (KIIFB) has issued fresh summons to former Kerala finance minister Thomas Isaac to appear for interrogation on January 12. Last month, the ED withdrew the summons after the Kerala High Court division bench on November 24 stayed the single bench's decision allowing the ED to issue fresh summons.
However, the ED after taking a legal opinion decided to issue fresh summons to Isaac again. He has been asked to appear at the ED office in Kochi on January 12. In the summons, it was stated that he was being called to get information regarding the masala bonds raised by KIIFB. The ED maintains that investing money raised from masala bonds in infrastructure projects is a violation of FEMA.
Speaking to reporters in Tiruvalla, Isaac on Saturday confirmed that he received a notice from the ED to appear for the interrogation. "They have asked me to appear on January 12. I don't know what they are trying to find now which they could not do in the last one-and-half-years of investigation. It is just to harass people," he said.
According to Isaac, this time at least the ED has clarified that they are probing the KIIFB masala bonds. "When my lawyers repeatedly asked ED regarding the subject of their investigation at the court, they did not give a proper reply. This time, they have stated in the summons that the issue of masala bonds is being investigated. In the summons, it is clarified that the ED wants to get certain information from me as I am the KIIFB executive committee's vice chairman," he said.
He said that he would consult with his lawyers before deciding to appear before the ED as the issue witnessed a long legal battle earlier. "They have to look into my convenience, not just theirs alone. I am a public person. I will be busy with the migration conclave till January 21 which is attended by over one lakh participants online. There are such practical issues," he said.
Isaac said the ED may be enjoying the power granted by the Supreme Court in cases registered under the Prevention of Money Laundering Act (PMLA). "But this case is under FEMA where no such power exists. This is a political move," he opined.
Elaborating on the politics behind the ED investigation, Isaac said it is closely linked to the upcoming parliamentary polls
"On the outside Modi, looks very confident to sweep the election. But on the inside, there is fear. That is why they are filing cases against Pawar in Maharashtra, Kejriwal in New Delhi and leaders in West Bengal. They are registering cases against leaders across India. I am not saying that investigations against leaders should not be conducted. But the problem is that no BJP leaders are facing any investigation. Are they saints? If a leader facing an investigation joins the BJP, the probe will be dropped which shows that these are just political gimmicks," he said.
He also slammed Modi's comment about the Thiruvananthapuram gold smuggling case in his speech at Thrissur. "Who was investigating the gold smuggling case? It was the central agencies which conducted the investigation. The smuggling was happening by evading customs people. So it was Customs and the central government's responsibility if gold smuggling took place. A majority of smuggling in India is carried out through road routes via Nepal. Who is responsible for that?" he asked.