LIFE Mission scam: CBI moves Kerala HC seeking to vacate interim stay on probe order

Source:-https://www.newindianexpress.com

KOCHI: The Central Bureau of Investigation (CBI) on Monday approached the Kerala High Court seeking to vacate the interim order staying the ongoing probe into the scam in LIFE Mission, the Kerala government’s housing project for the homeless.

The Single Judge had earlier stayed for two months all further proceedings in the CBI probe against the Chief Executive Officer of LIFE Mission over alleged Foreign Contribution (Regulation) Act (FCRA) violations with respect to the funds received from a foreign sponsor for implementation of the housing project at Wadakkancherry in Thrissur district.

This was the second petition by the CBI seeking to vacate the stay.

Earlier, a Single Judge dismissed the plea citing that the CBI did not file a counter affidavit in the petition filed by the state government, and Santhosh Eapen, Managing Director of Unitac seeking to quash the FIR.

In the application filed through CBI’s counsel Sasthamangalam Ajith Kumar, it states that the investigation of the case is in progress and the statements of the witnesses and the documents collected prima facie point to the role of senior state government functionaries in the conspiracy to receive foreign contribution and allegedly taking kickbacks through Swapna Suresh, key accused in the gold smuggling case.

The FIR state that a Dubai based NGO- UAE Red Crescent, stated to be affiliated to the International Red Cross Society, came forward to collaborate with the State Government to provide financial aid for the construction of homes for the victims of Kerala floods and for construction of a health center. Accordingly, a Memorandum of Understanding was signed between them. And in the later stage, the contract for constructing the projects was granted to Unitac company.

The CBI submitted that the foreign contribution of AED 10 million (Rs 20 Crores) if received directly into the account of LIFE Mission from UAE Consulate or UAE Red Crescent, would attract scrutiny from the audit agencies and the LIFE Mission would also be compelled to award the contract for construction of LIFE Tower at Wadakkanchery through open tender, after complying the formalities. Therefore, routing foreign contribution through firm M/s Unitac Builders/Sane ventures was to circumvent the above issue and accept kickbacks, which would not have been accomplished otherwise.

In addition to the kickback of about Rs. 4.58 Crores, Santhosh Eappen had presented seven costly iPhones to Swapna as demanded by her, for gifting to various officials. Out of these seven iPhones, one was seized from Shivashankar, then Principal Secretary to Chief Minister of Kerala, by the Customs Department. This confirms that Shivashankar had received a costly iPhone, purchased out of foreign contribution received by Santosh Eappen, as a reward for facilitating the LIFE Mission project at Wadakkanchery.

UV Jose, CEO of LIFE Mission stated before the CBI that they had initially planned to construct 234 apartments and had engaged M/s Habitat as their consultant who had prepared the building plan and Detail Project Report (DPR) but suddenly U.V. Jose was informed by Shivashankar that an MOU has to be signed with Red Crescent UAE on July 11, 2019, which was confirmed through a letter from Local Self Government Department. Jose further stated that there was no tender process for selecting M/s Unitac and he is not aware as to how they were selected and the LIFE Mission did not have copies of the agreements for construction till August 2020.

Unitac is a conduit for LIFE Mission to receive foreign contribution and taking commission/kickback. Apart from the role of Santhosh Eappen), the role of Swapna Suresh, Sarith, Sandeep Nair, Shivashankar, and others have to be investigated further to unearth the criminal conspiracy. The investigation also reveals that there is a large number of communications through emails, WhatsApp Chats, etc. and the same have to be scrutinized in detail.

That investigation so far has brought out only a tip of the iceberg and further efforts are needed for unravelling the conspiracy for violating the provisions of FCRA and other offences if any. The Agency can add or delete any sections, based on the evidence received during the investigation.