As Local Polls Loom, Twin Troubles Rock Pinarayi Vijayan Government In Kerala

Chennai-based businessman, said to be a sympathiser of the party ruling the state, has made serious accusations against senior leaders and ministers.

Kerala House
Kerala House Photo: Getty
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Summary
Summary of this article
  • Chennai businessman accuses senior CPI(M) leaders of financial links with controversial UK-based businessman.

  • A vigilance court rejects probe report against senior police officer MR Ajith Kumar, citing political interference.

  • Congress, BJP vow to intensify campaigns against the party's government.

Kerala’s ruling CPI(M) government is grappling with twin setbacks ahead of the crucial local body elections later this year. Allegations of financial impropriety against party leaders have coincided with a vigilance court’s stricture against Chief Minister Pinarayi Vijayan. The strictures refer to political interference in an investigation involving a senior police officer.

The latest storm was triggered by B Sharshad, a Chennai-based businessman and CPI(M) sympathiser, who accused senior leaders and ministers of large-scale financial irregularities. Sharshad claimed that a private complaint he had submitted to the party’s politburo, its top decision-making body, over financial malpractices later surfaced as evidence in a defamation case filed by United Kingdom-based businessman Rajesh Krishna.

Political observers see his disclosures as a sign of deepening fissures within the ruling CPI(M). The revelations dent the party’s long-claimed anti-corruption image and hand the Opposition fresh ammunition to target it with.

In a letter to CPI(M) general secretary MA Baby, Sharshad asked how his confidential complaint could have reached Rajesh Krishna, a member of the Association of Indian Communists—the CPI(M)’s international wing. Krishna had himself been at the centre of a row earlier this year when, despite being elected as a delegate, he was barred from attending the party congress in Madurai after the Polit Bureau intervened on complaints.

Sharshad went further, alleging that the leak of his letter was engineered by Shyam, son of CPI(M) state secretary MV Govindan. He accused Rajesh of acting as a 'benami' for several leaders and ministers, allegedly funneling large transactions through a company named Kingdom India. The disputed complaint was later produced as evidence in the defamation suit filed by Rajesh against Sharshad.

“The leak of the letter and its timing may reflect internal fissures within the party, but what is more serious is that it raises questions about the integrity of the leadership,” political commentator NP Chekkutty told Outlook. “Rajesh Krishnan was excluded from the party congress following complaints, but the larger issue is how such a controversial businessman was chosen as a representative in the first place. Even after his exclusion, the central leadership clearly maintained ties with him, which is a violation of party policy. This is no longer about individual lapses—the politburo itself is under a cloud.”

The CPI(M) state leadership, currently in Delhi for a politburo meeting, has so far brushed aside the charges. State secretary MV Govindan told the media that he “does not usually react to absurd allegations.”

Opposition Steps Up Attack

The Opposition has seized on the controversy. Kerala Pradesh Congress Committee (KPCC) president Sunny Joseph said the revelations expose the “corruption and nepotism rampant under Left rule”.

“Morally and ideologically, the CPI(M) has fallen beyond redemption. Since the complaint points towards financial dealings involving ministers, Chief Minister Pinarayi Vijayan owes an explanation to the people,” he told Outlook.

The BJP, eyeing an opportunity for itself in the upcoming polls, has also sharpened its rhetoric. Former state president and national council member K Surendran alleged that the CPI(M) has used government platforms like the Loka Kerala Sabha (World Kerala Assembly) for dubious financial dealings. “The new allegations are serious since they point towards some ministers. The Chief Minister owes an explanation. The foreign trips of the ministers were not undertaken to attract investment, but for illicit financial dealing. When the case involving the chief minister’s daughter surfaced, it was the BJP that exposed the corruption. We will take this one up even more seriously,” he said.

The Serious Fraud Investigation Office (SFIO) is already probing allegations against the Chief Minister’s daughter, T Veena, for financial irregularities.

The recent controversy comes close on the heels of a vigilance court pulling up the Chief Minister for alleged political interference in the disproportionate assets case against Additional Director General of Police, MR Ajith Kumar.

The court was irked when the investigating officer submitted that the Chief Minister had approved the probe report. “Is it for the head of government to decide what is right or wrong in an investigation?” the court asked, hinting at political meddling. The observation has provided fresh ammunition to the opposition, which has demanded Vijayan’s resignation.

The government had ordered a probe after former LDF legislator PV Anwar accused Ajith Kumar—believed to be close to the Chief Minister—of amassing wealth disproportionate to his known income and his involvement in gold smuggling cases. Despite the charges, the state recommended his name for the post of Director General of Police, a move that drew sharp criticism.

“The investigation was conducted in a lackadaisical manner,” senior advocate and former Director General of Prosecutions T Asif Ali told Outlook. “The political intent was evident when a junior officer was tasked with probing an ADGP. None of the mandatory procedures of a disproportionate assets case were followed. The entire probe was designed to whitewash and protect the officer. But with the court’s outright rejection, it has boomeranged.”

The Congress has demanded the Chief Minister's resignation after the court order. Sunny Joseph said that the opposition will intensify its struggle against the government. He told Outlook that several ministers had previously resigned in response to the court's remarks against the Chief Minister.

Both the party and the government are caught in overlapping controversies at a politically sensitive time, just as the CPI(M) gears up for the upcoming local body polls. Kerala is going to elect a new Assembly in May 2026.

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