(This is the first part of a series on the fake CSR scam. Read part I, II and III here.)
Numerous NGOs, voluntary organisations and trusts – which earned a good reputation by their decades-long humanitarian activities – are facing a deep crisis following Ananthu Krishnan’s CSR Fund scam. Along with poor people who paid money to buy scooters and other items at half-price, religious organisations, educational institutions and women’s collectives have also been deceived by the gang.
The National NGO’s Confederation was formed with over 1,700 volunteers from 175 such voluntary organisations. However, during the formation of the confederation, distribution of scooters and other items at half-price was not part of its agenda.
“One year later, confederation chairman and head of Sai Gramam K N Ananda Kumar introduced Ananthu Krishnan to us,” said the office-bearer of an NGO.
The NGOs were told that they would find it easier to receive CSR funds collectively from companies across India through the confederation, than individually. The organisations were also offered a commission of 4 per cent on the transactions. However, no NGO received the commission. Worse, they are now perplexed over how to return the money to the people who paid half-price for the items.
A voluntary organisation based at Nilambur in Malappuram district lost Rs 28 lakh in this regard. It had paid this amount as half of the price for scooters and sewing machines on behalf of women in coastal and Adivasi areas, who could not raise the money.
Meanwhile, district-level coordinators of SEED (Socio-Economic and Development Society) are also facing public wrath, and they are planning to approach the Chief Minister to recover the money which people paid, trusting them.
Incidentally, the voluntary organisations were attracted to the ‘half-price’ scheme at a meeting held in Ernakulam with the cooperation of NABARD (National Bank for Agriculture and Rural Development).
“We filed a police complaint against the office-bearers of the National NGO’s Confederation who compelled us to join the scheme. However, an FIR has yet to be registered. Ananda Kumar cannot evade responsibility, saying he had no role in the scam and he resigned. Most of the NGOs paid money to the operators of the scheme when Kumar was the confederation chairman,” said Jisa Joemon, secretary of Janani, an NGO.
Parallel probe by Special Branch
The state Special Branch of Kerala police has initiated a parallel investigation into how the identities of the leaders allegedly involved in the scam were revealed. The move is based on the instructions of a senior leader in the ruling front.
At the same time, it is also alleged that the police changed the password of the iCloud, where details of the money received by Ananthu were stored, with the assistance of the accused.
As per reports, members of the board of directors of the National NGO’s Confederation are in panic after its role in the scam was exposed and a case was registered against Ananda Kumar. A woman board member having high-level influence has already left the country.
Don’t ridicule us, say victims
Most of the victims were tempted to join the fake scheme as it was implemented utilizing government mechanisms. In association with NABARD, Kudumbashree and panchayat groups, the confederation summoned a meeting of the NGOs’ representatives to promote the scheme and enrol beneficiaries in Ernakulam. Dignitaries such as ministers and MLAs carried out the inauguration of the scheme at various places. The scheme was also touted as a Central government programme for women’s empowerment. Hence, it is strange that the government, Intelligence and police failed to detect the scam before the complaints were raised.
A woman from Azhikode in Kannur who lost her money in the scam said that a panchayat president ridiculed her for being foolish in investing the money. She replied that she joined the scheme after noticing the MLA honouring Ananthu with a ceremonial shawl. Moreover, the husband of a member of the same panchayat served as the SEED promoter. She also pointed out that the details of the fake scheme were posted in the panchayat group.
In another incident, a homemaker belonging to Valapattanam was scolded by a police officer when she went to file a complaint at the station. He said any money handed over without proper verification would be lost. “You provided escort to the minister, when he arrived to launch the scheme,” she shot back at the police officer.
(This is the first part of a series on the fake CSR scam. Read part I, II and III here.)