Martyr's fund row resurfaces: CPM faces fresh crisis in Kannur as senior leader Kunhikrishnan goes public

Kozhikode: The CPM is once again facing a political crisis in its Kannur stronghold ahead of the Assembly elections, following fresh allegations of fund misappropriation raised by senior party leader and district committee member V Kunhikrishnan against Payyannur MLA and district secretariat member T I Madhusoodanan.

Kunhikrishnan has alleged that around ₹46 lakh was misappropriated from a ₹1 crore fund collected by the party to provide financial assistance to the family of slain CPM worker C V Dhanraj, who was hacked to death allegedly by BJP–RSS workers in July 2016.

Although similar allegations had surfaced three years ago, the party had managed to contain the issue internally, as no senior leader had come forward publicly. This time, however, the open statement by Kunhikrishnan — a leader with strong grassroots influence and a clean public image — has left the party struggling to defend itself effectively.

In a recent television interview, Kunhikrishnan said the misappropriation occurred during Madhusoodanan's tenure as secretary of the CPM Payyannur Area Committee. He claimed the irregularities came to light in 2020, after he assumed charge as area secretary and reviewed the financial records.

According to Kunhikrishnan, the party collected ₹1 crore as a martyr's fund. Of this, over ₹34 lakh was reportedly spent on constructing a house for Dhanraj's family. He alleged that ₹29.25 lakh was paid to the contractor, while ₹5 lakh was transferred to the personal account of the area secretary. He further claimed that another ₹40 lakh from the fund was spent on constructing the area committee office, despite separate funds already having been collected from party workers for that purpose.

Kunhikrishnan also said he had reported the alleged misappropriation to senior leaders, including then state secretary Kodiyeri Balakrishnan, senior leader M V Govindan, and Chief Minister Pinarayi Vijayan.

The controversy has revived long-standing factional tensions in Payyannur. When Madhusoodanan's term as area secretary ended, Kunhikrishnan was the party's official candidate for the post. However, K P Madhu, a close aide of Madhusoodanan, contested against him and won. Madhu was later removed in August 2020 after he sent a nude photograph to a WhatsApp group of party workers, following which Kunhikrishnan was appointed area secretary.

During his tenure, Kunhikrishnan allegedly found that funds meant for Dhanraj's family were misused and that the cost of constructing the widow's house — estimated at ₹25 lakh — was inflated. In 2021, when Madhusoodanan was nominated as the CPM candidate from Payyannur Assembly constituency, Kunhikrishnan reportedly uncovered the collection of election funds using forged receipt books. He submitted a detailed report to the party's district and state leadership.

Subsequently, the party-appointed inquiry commission examined the allegations and officially gave a clean chit to those involved. However, in June 2022, Madhusoodanan was demoted from the district secretariat to the district committee. His confidant T. Vishwanathan was demoted from the area committee to the local committee, while area committee members Madhu and K.K. Gangadharan were publicly censured. Despite this, Kunhikrishnan himself was removed as area committee secretary, a move opposed by a majority of area committee members. In protest, he withdrew from public life for over eight months.

The issue has resurfaced now after Kunhikrishnan publicly reiterated his allegations, prompting opposition parties to demand a detailed investigation. UDF leader Ramesh Chennithala has already said that the alleged misappropriation of funds within CPM was just "the tip of the iceberg." 

RMPI leader and MLA K.K. Rama said the allegations were serious and warned that more details of fund misappropriation in Kannur and Wayanad could emerge. Meanwhile, CPM Kannur district secretary K K Ragesh said the party would not tolerate any action against its Marxist–Leninist ideology, hinting at possible disciplinary action against Kunhikrishnan.

In a detailed statement issued earlier, the district secretary said the allegations were baseless and contrary to facts. It stated that party-appointed inquiry commissions had found no personal misappropriation of funds, and that the lapses were limited to delays in presenting income–expenditure accounts. The report was discussed and accepted by the district committee, and organisational actions were taken accordingly.

The statement further claimed that Kunhikrishnan had admitted to making mistakes during a district committee meeting held eight months ago and accused him of raising false allegations with factional motives ahead of elections.

Rejecting this claim, Kunhikrishnan said he had stayed away from party activities precisely in protest against the inquiry commission's findings. "I am speaking out now because the party failed to take proper action based on the commission's findings," he told the media.

Senior CPM leader M V Jayarajan accused Kunhikrishnan of attempting to tarnish the party's image ahead of the Assembly polls.

Political observers note that any disciplinary action against Kunhikrishnan could impact the party's electoral prospects in the Payyannur region, where he commands significant support. The Payyannur Area Committee — comprising Payyannur municipality and the Ramanthali and Karivellur–Peralam grama panchayats — is considered one of the CPM's strongest units in the country. The neighbouring Peringome Area Committee also covers several LDF-controlled local bodies.