Kerala Police arrest NGO Chairman in Rs 1,000 crore CSR scam
Thiruvananthapuram: The Crime Branch wing of the Kerala Police on Wednesday arrested an NGO Chairman involved in the Rs 1,000 crore corporate social responsibility (CSR) fund scam that has rocked the state, after thousands of innocent people were cheated.
On Tuesday hours after a local court in the state capital denied bail to K.N. Anand Kumar, Chairman of the NGO Confederation and a well-known social activist in Kerala, the investigation team took him into custody, but after he fell ill he was admitted to a private hospital, here.
Later, the doctors treating him said that he has a health issue and admitted him to the cardiac ICU.
However on Wednesday, a local magistrate appeared online and remanded Kumar to judicial custody and allowed him to continue staying in the hospital.
Kumar is alleged to have received Rs 10 lakh per month over several months from 28-year-old Ananthu Krishnan, the alleged mastermind behind the massive scam.
Krishnan, considered the kingpin of the fraudulent scheme, is currently in judicial custody.
The scam, executed by Krishnan and his associates, involved deceiving victims by offering high-value consumer products — such as scooters, laptops, and sewing machines — at half their market price under the guise of a CSR initiative.
This aggressive promotional campaign attracted thousands of unsuspecting investors, who were led to believe they were making a lucrative purchase through corporate sponsorship.
As the fraudulent scheme unravelled, several victims came forward, alleging that they had invested their savings in what appeared to be an enticing opportunity.
However, once the promised products failed to materialise, complaints began pouring in from across Kerala, prompting an extensive police investigation.
The Crime Branch’s investigation has revealed the staggering extent of the scam, leading to the registration of more than 500 cases of financial fraud across all 14 districts of the state.
With the arrest of Krishnan, authorities had been closing in on key figures linked to the operation, including Anand Kumar, whose involvement was under scrutiny.
Last month, as part of a parallel probe, the Kochi unit of the Enforcement Directorate (ED) conducted raids at 12 locations across Kerala to trace the money trail and possible instances of money laundering linked to the scam.