Kerala: ED arrests two in connection with Thrissur's Karuvannur bank fraud

Kochi (Kerala) [India], September 6 : The Enforcement Directorate (ED) has arrested two accused under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in the Karuvannur Service Co-Operative Society Bank fraud case, officials said. 
The two accused identified as Benami client Sathish Kumar and Kiran P P, who was the bank's collection agent, were arrested on Monday, the ED said. They were later produced in the Kaloor PML court. 
The first accused, Sathish Kumar, was the master brain behind the Karuvannur bank fraud, the investigation agency said in court.
The investigation team also found that out of the Rs 24.5 crore stolen by Kiran through benami loan transactions, Rs 14 crore was handed over to Sathish Kumar. 
The two accused who were produced in the court were remanded in ED custody for three days, officials said. 
There are serious allegations against both of them in the remand report. Kiran allegedly embezzled 24.5 Crores through 51 benami transactions. Kiran was granted loans from the bank due to the influence of Satish Kumar, who has high connections. Kiran has transferred his share of the loan amount to Sathish Kumar's bank account and handed him cash.
The ED informed the court that the fraudulent contribution was paid through a bank account and in cash. However, the defendant alleged that in the case that started in 2021, inspections and arrests were made now. 
This is the first arrest made by the Enforcement Directorate in the Karuvannur bank fraud case.
The ED is also looking into issuing notice again to CPI(M) MLA AC Moideen, who failed to appear despite being given two notices.