NEW DELHI: The Enforcement Directorate (ED) is conducting search operations on Friday at multiple premises linked to former legislator PV Anvar and four others in connection with the Kerala Financial Corporation (KFC) loan misappropriation case.
The alleged loan fraud reportedly caused a loss of Rs 22.30 crore.
The ED is probing a case under the Prevention of Money Laundering Act (PMLA) against Anvar (58), his driver Ziyad, and three KFC officials -Abdul Manaf, T Mini and Muneer Ahamed. The accused were allegedly involved in laundering money by fraudulently obtaining loans sanctioned by the Kerala Financial Corporation in 2015.
The investigation followed a complaint by Kollam-based industrialist and planter Murugesh Narendran, who later appeared before the ED and handed over what investigation officers described as key evidence related to alleged black-money transactions involving Anvar.
PV Anvar, who served as the independent Nilambur MLA and his associates had availed loans amounting to Rs 12 crore in 2015. Anvar is accused of pledging the same property documents to secure two separate loans, causing a loss of Rs 22.30 crore to KFC due to default in repayment.
The ED is examining disproportionate assets, suspected benami holdings, diversion of funds into real-estate projects, and other unaccounted investments to trace the laundering trail.
An ED team, accompanied by CRPF personnel, arrived at Anvar’s house in Othayi by 6:30 on Friday morning and began the search after securing the premises by locking the gate.
Simultaneous searches were also carried out at the residences of Siyad and the KFC officials, the official said.
According to the investigation, Ziyad was sanctioned a Rs 7.50-crore loan on September 23, 2015, from the KFC Malappuram branch for construction purposes in the name of Malamkulam Constructions Pvt. Ltd., despite insufficient income proof.
After he defaulted, the same property pledged as collateral was reused to grant two loans of Rs 5 crore each — totalling Rs 10 crore — to Anvar under PVR Developers on December 8, 2015. Officials allege that Ziyad concealed his existing loan and certified that no KFC liability existed, enabling the subsequent loans to Anvar.
The ED is now examining the financial dealings of Malamkulam Constructions, PVR Developers, and other entities linked to Anvar and Ziyad as part of its money laundering investigation.
PV Anvar, once declared the richest MLA in Kerala, had declared assets worth Rs 64.14 crore, but reported zero taxable income, citing continued losses.
