Kottayam: Congress MLA Mathew Kuzhalnadan on Saturday escalated his allegations of financial irregularities against Veena T, daughter of Chief Minister Pinarayi Vijayan.
The Muvattupuzha MLA filed a complaint against Veena to State Finance Minister K N Balagopal, urging the latter to recover the tax amount due to be paid by the chief minister’s daughter on a sum of Rs 1.72 crore her company Exalogic received from another firm.
Kuzhalnadan also challenged the CPM, which had defended Veena after a controversy broke out over the payments received by her, to clarify if she had paid the Integrated Goods and Services Tax (IGST) on the amount received from CMRL. He said the ruling party will have to admit that the payment was nothing but political funding if they cannot produce evidence of tax payments.
Veena, also the wife of State Tourism and Public Works Minister P A Mohammed Riyas, has been at the centre of controversy ever since Malayala Manorama recently reported that Cochin Minerals And Rutile Ltd (CMRL) paid a total of Rs 1.72 crore to the CM's daughter between 2017 and 2020.
The news report, citing the recent ruling of an Interim Board for Settlement, said that the Kochi-based company previously had an agreement with Veena's IT firm for consultancy and software support services. Despite the fact that no service was rendered by her firm, the amount was paid on a monthly basis "due to her relationship with a prominent person", the report said, citing the deposition of the minerals company authorities before the Income Tax Department.
The CPM state secretariat had issued a statement defending Veena saying there was nothing illegal in the payment made by the mineral firm to her company for the services rendered by it.
Kuzhalnadan on Saturday took a jibe at the CPM saying he was pained to see the Marxist party stooping to the level of a security manager of the CM’s daughter.
Kuzhalnadan created some drama by emailing the complaint to the minister from his computer during the press meet. He said the IGST amount supposed to be paid by Veena would come around Rs 30 lakh at 18 per cent and around Rs 15 lakh of it was entitled to the state.
“In my check, it shows since the place of supply of this dubious service rendered is inside Kerala the share of that IGST is payable to Kerala government on its realisation by the Government of India. But this government tax revenue is not seen as effected or recovered. Everybody has already taken cognizance of this tax evasion. It is time that the Kerala government should initiate steps to get this IGST recovered from parties accountable and avail its due share. This is a clear case of tax evasion and embezzlement of government money by Exalogic company owned by Veena. I hope this lucid detailing of the matter will suffice to act upon against this flagrant tax dodging. As an MLA, I urge you, reflecting the interests of the common man to exercise political will to recover the due taxes payable to the exchequer and thereby to uphold the integrity expected f you as finance minister.
Kuzhalnadan called the press meet a day after the revenue department conducted a resurvey of his ancestral property based on a complaint by a DYFI activist that a paddy field was allegedly levelled to construct a building.
The CPM has accused Kuzhalnadan of money laundering and furnishing false information on his election affidavits.
The CPM has been attacking the Congress MLA from various fronts for alleged money laundering and disproportionate asset matters and has demanded a comprehensive probe into the finances of the legislator and his law firms.
Against the backdrop of the allegations, the DYFI, the youth wing of the CPM, staged a march on Saturday to Kuzhalnadan's office at Muvattupuzha.
Kuzhalnadan said he would continue his fight against corruption and thanked all the people who have extended support to him ever since he exposed the financial irregularities involving the chief minister’s daughter.
