Kochi: Amid the Crime Branch probe into the fake CSR fund scam, seven NGOs from several parts of the state approached the Kerala High Court seeking a probe under the Banning of Unnregulated Deposit Scheme Act 2019 (BUDS Act). In the plea, the NGOs requested the High Court to issue an order directing the Chief Secretary to investigate and take action against the National NGO’s Confederation established by Ananthu Krishnan, key accused in the case and others responsible for the scam.
Justice Kausar Edappagath considered the petition and posted it to March 27 after the public prosecutor sought time to get instructions.
In the plea, the seven NGOs alleged that the National NGO Confederation, its founder K N Ananda Kumar, Secretary Ananthu Krishnan, Directors Sheeba Suresh, Jayakumaran Nair, and Beena Sebastian persuaded them to secure funds from target beneficiaries by claiming that they were procuring products like two-wheelers, laptops, and sewing machines at half price.
The Petitioner organisations were made to believe that the scheme was carried out by securing the remaining amount through CSR contributions from various companies. In the plea, the petitioners claimed that they were tasked with collecting funds deposited by various beneficiaries and transferring the amount to Ananthu Krishnan.
On Tuesday, Crime Branch arrested Anand Kumar, Director of Sai Gramam Charitable Trust who is the founder of the National NGO’s Confederation over the controversial scam. The scam came into light in February after police arrested Ananthu Krishnan over numerous complaints from various districts.
As per the plea, the seven NGOs had become implementing agencies and received several bookings and they collected booking amounts and transferred it to various agencies specified by the respondents.
The petitioners submitted that half-price scheme implemented by the National NGOs Confederation falls under ‘Unregulated Deposit Scheme’ which is prohibited under the BUDS Act. It is submitted that no investigation has been conducted and no actions have been taken against the respondents under the BUDS Act.
Citing these facts, the NGOs sought a detailed investigation into the activities of the respondents under the BUDS Act. They have thus submitted representations before the Chief Secretary, who is the competent authority under the BUDS Act to investigate and take action against the respondents.
(With Live Law inputs)