Thiruvananthapuram: Former president of Kandala Service Cooperative Bank and Milma's Thiruvananthapuram Region Union Administrative Committee Convenor N Bhasurangan, who is facing allegations of financial irregularities, was expelled by the Communist Party of India (CPI) on Thursday.
The CPI's district secretary said that Bhasurangan was stripped of his primary membership in light of the recent developments. The state leadership had also advised stringent action against the leader.
Meanwhile, the Directorate of Enforcement (ED) raid at Bhasarungan's residence completed 24 hours on Thursday. He was admitted to a private hospital in Thiruvananthapuram after he experienced uneasiness during the raid. It is suspected that he is already in ED's custody.
The Department of Cooperation in Kerala had detected malpractices amounting to Rs 101 crore at the Kandala Service Cooperative Bank. The bank has to pay Rs 173 crore to its depositors. It also has an outstanding loan payment of Rs 69 crore.
The ED raids the bank and the residence of former bank secretaries on Wednesday in association with the loan fraud case. The raids were held at the houses of former secretaries Shantakumari Rajendran and Mohan Chandran, as well as the residence of a collection agent, Ani. The investigation was also held at Bhasurangan's residence and his son's restaurant in Poojappura.
The ED checked the bank documents including several loan transactions.
The Cooperative Registrar had earlier handed over the reports regarding the loan fraud case to the ED. The raid is following this development.
