ED tightens net around Nedumparambil Credit Syndicate, questions NM Raju again

NCS has come under the scanner of multiple agencies after allegations surfaced that former Sabarimala thantri Kandararu Rajeevaru had deposited nearly Rs 2.5 crore with the firm before it ceased operations.
Enforcement Directorate logo used for representational purposes only.
Enforcement Directorate logo used for representational purposes only.File Photo | Express
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KOCHI: The Enforcement Directorate (ED) on Monday began questioning NM Raju, owner of Nedumparambil Credit Syndicate (NCS), at his Kochi office in connection with alleged large-scale financial irregularities.

This marks the second round of questioning of Raju by the central agency. The questioning began at 10.30 am and is continuing.

Last week, the ED had questioned Raju along with R Pradeep Kumar, former president of Nemom Service Cooperative Bank (NSCB).

According to sources, the two were interrogated by separate teams as part of the ongoing investigation.

NCS has come under the scanner of multiple agencies after allegations surfaced that former Sabarimala thantri Kandararu Rajeevaru had deposited nearly Rs 2.5 crore with the firm before it ceased operations.

The development added further gravity to the case, drawing public and political attention.

Last month, ED officials conducted raids at the NCS office and at Raju’s residence. During the searches, investigators reportedly found evidence suggesting large-scale diversion of depositors’ funds, extensive real estate acquisitions, and other financial irregularities.

Sources said that the agency has also recorded statements from several investors who claim to have lost money in NCS as well as in Nemom Service Cooperative Bank last week. NSCB has been politically sensitive, as it has been linked to leaders of the CPM, with Pradeep Kumar having served as a former area committee member of the party.

With the state heading into elections, any findings by the ED concerning these two financial institutions could emerge as a major political talking point. The agency’s actions are therefore being closely watched by political circles across the state.

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