Kozhikode: The Enforcement Directorate (ED) on Tuesday launched searches at several properties in and around Kozhikode linked to people associated with former Kerala Tourism Minister P A Mohammed Riyas as part of its investigation into the controversial CMRL-Exalogic case.

The case involves Riyas's wife, T Veena, who is the daughter of former Chief Minister and current Leader of the Opposition Pinarayi Vijayan.

The searches are being conducted at the residences and properties of several people associated with Riyas, including CPM district secretariat member P Nikhil and his close associate N Nandulal.

An ED team comprising four officials began a search at around 6 am at Nandulal's residence in East Hill. Nandulal is the Destination Coordinator of the Kozhikode District Tourism Promotion Council (DTPC) and is reportedly a close friend of Riyas. He also serves as the DYFI East Hill area secretary.

The ED also began searches at multiple properties linked to Nikhil in and around Kozhikode city. Nikhil, a CPM district secretariat member, owns an advertising company that operates in Kozhikode and other parts of the state and is reportedly associated closely with Riyas.

The ED team first searched Nikhil's ancestral house on A P Road in Karuvanthuruthy, Feroke, in the early hours of Tuesday. According to sources, three vehicles carrying ED officials arrived at around 6.45 am. Officials travelling in one of the vehicles entered the house to conduct the search, while the other two vehicles later left the premises.

The officials searched the rooms and inspected cupboards before leaving at around 9.10 am. Preliminary information suggests that nothing was recovered from the house.

The ED later continued its search at a flat owned by Nikhil in Ashokapuram, Kozhikode. Nikhil, who was undergoing treatment at a hospital, was brought to the flat before the search began.

Meanwhile, the ED is also reportedly searching a Kozhikode-based company in which Veena, the sixth accused in the case, has an investment. The search is reportedly being conducted at Laker India Corp, a company headquartered in Kozhikode. The ED had earlier frozen investments worth ₹16.5 lakh held in Veena's name in connection with the case.

Sources said the latest searches were based on information allegedly found in Veena's diary during the investigation.

According to documents recovered during the ED's search at Veena's residence on May 27, the agency found that her account had a balance of ₹1,37,088, while Exalogic's account had ₹27,585 and Laker India Corp's account had ₹15,57,414.

There are also indications that ED teams have visited the residences and establishments of people associated with the company as part of the ongoing investigation.

The CMRL-Exalogic case stems from findings by the Serious Fraud Investigation Office (SFIO), which alleged that CMRL had shown nearly ₹182 crore as fictitious expenditure over a period of 15 years. Investigators suspect that the amount was diverted to various individuals and entities through questionable transactions bypassing corporate regulations.

Following the Kerala High Court's approval for the ED to proceed with its probe, a special court transferred financial transaction records collected by the SFIO to the central agency. The ongoing investigation is being conducted on the basis of those records, SFIO report and the evidence gathered so far.