The Left Front government in Kerala was left embarrassed on Friday after the CBI registered a case and launched a probe into a Rs. 20 crore UAE agency-funded housing scheme for the homeless.
The Opposition, the Congress and the BJP, has stepped up their demand for Chief Minister Pinarayi Vijayan's resignation, especially since the allegation pertained to LIFE Mission, a flagship programme of the government aimed at housing for all.
The allegations levelled against the deal with UAE-based Emirates Red Crescent came to light after former employee of the UAE consulate Swapana Suresh, who was held for in a gold smuggling case, revealed about the commission she received.
The CBI is learnt to have initiated its probe after it received several complaints of Foreign Contribution (Regulation) Act violations in the deal that was made without the Centre's nod. A case was registered by the CBI's Kochi unit.
The state government on Wednesday announced a probe by the state vigilance into the deal but the Opposition alleged that it was an attempt to scuttle a fair probe as both the state vigilance and the LIFE Mission come under the chief minister.
Emirates Red Crescent's Rs 20-crore offer for a housing project at Vadakkencherry in Thrissur district for those who lost their homes in the 2018 floods came subsequent to a visit to the UAE by a CM-led delegation seeking support for rebuilding Kerala after the floods.
With allegations pertaining to the deal coming up, the government initially maintained that it was not part of the deal and that the deal was between the private firms entrusted with the construction of the project. Later, many documents showing government's link to the deal with the UAE agency surfaced.
While Swapna Suresh has stated to various investigation agencies that she received Rs 1 crore as commission, the Opposition alleged that the deal involved a commission close to Rs 8 crore.
Chief minister's media advisor John Brittas even said during a media discussion that the project involved kickbacks worth Rs. 4.5 crore.
The Enforcement Directorate, the Customs Department and the NIA are also learnt to have shared the information regarding the deal with the CBI.
While Opposition leader Ramesh Chennithala of the Congress said that it was high time that the Chief Minister stepped down, BJP state president K Surendran said that all the shady deals made during the Chief Minister and other Ministers' foreign trips might be probed.