Thrissur: The Enforcement Directorate on Wednesday launched searches at the Kuttanellur Service Cooperative Bank in Thrissur in connection with alleged financial fraud and irregularities amounting to ₹27 crore.

The searches began around 6.30 am and are being conducted at five locations across Thrissur, including the bank’s head office at Kuttanellur and several branches. The residences of former bank president Rixon Prince and former governing body member Sheeja are also being searched.

The cooperative bank, which was under CPM control, was earlier found to have committed financial irregularities involving ₹27 crore. The bank, which has a history of more than 75 years, has deposits worth ₹208 crore and outstanding loans of ₹154 crore.

Following the detection of the alleged irregularities, the bank’s governing body, headed by Rixon Prince, a CPM Ollur area committee member, was dissolved and administrative control was imposed.

Investigators had found that loans were sanctioned using death certificates issued in the names of people who were still alive. The bank was also accused of granting loans by allegedly using government land in Peechi as collateral.
Officials from the Enforcement Directorate’s Kochi unit are carrying out the searches.