Kozhikode: The main accused in the Malaparamba sex racket case is the same individual who is out on bail in connection with a ₹1.6 crore fake gold pledge scam registered in 2020, the Nadakkavu Police said. The accused, Bindu (47), a native of Wayanad, was previously arrested for allegedly pledging a large quantity of counterfeit gold at Union Bank in Kozhikode. 

Nadakkavu Inspector Prajeesh, the investigating officer in the Malaparamba sex racket case, confirmed to Onmanorama that both cases involve the same individual. "The accused woman is the same person who scammed a large amount in 2020 using fake gold. She admitted this to us," he said. "The earlier case was registered at the Medical College Police Station, and she is currently out on bail," he added.

The case had drawn widespread media attention, not only due to the significant financial fraud but also because of the suspicious death of the bank appraiser soon after being named an accused. Charapparamb Chandran (70), an appraiser at the Union Bank branch, was found dead on December 9, 2020. He was suspected of having knowingly aided the main accused in pledging fake gold.

The fraud occured between February to November in 2020 during which Bindu allegedly pledged fake gold 44 times at the same Union Bank branch in Kozhikode. In total, she pledged around 1.5 kg of fake gold, securing ₹1,69,51,000 in loans. Bindu, who owned a beauty parlour and a tailoring shop in Kozhikode city, is also alleged to have used the bank accounts of her employees to facilitate the scam.

It was only in December 2020 that the Union Bank authorities became aware of the fraud, after bank auditors flagged the large quantity of fake gold in the branch. Following an investigation, Puthiyedath Veettil KK Bindu, a native of Manavayal in Wayanad, was identified as the prime accused in the case. The police have also seized more fake gold from her apartment and shops.

The police also began investigating the possible involvement of bank staff. Appraiser Chandran was subsequently booked as a co-accused in the case. The next day, on December 9, Chandran was found drowned in a temple pond near his home in Payambra, near Kakkodi.

Bindu was later senteced to jail. She is believed to have been introduced to the sex trade under the influence of a woman she met while in jail. The woman was serving jail time for prostitution.