Police on Friday registered an FIR against Sree Narayana Dharma Paripalana Yogam (SNDP) General Secretary Vellappally Natesan, his son Thushar Vellappally and five others, in connection with the micro finance scam.
The FIR has been registered as per the direction of the First Class Magistrate court Chengannur.
Chengannur DySP R Binu told TNM that the FIR has been registered under sections 420, 120 B, 465 and 468 of the IPC. Section 420 pertains to cheating and dishonestly inducing delivery of property, 120B for criminal conspiracy to commit an offence and 465 for forgery.
The others who have been booked are Ratheesh Kumar, Anil P Sreerangam, KK Maheshan, Sunil Valliyil, Anoop Senan and K Santhoshkumar.
The complainant is a former member of the SNDP administrative council, Sudarsan.
In 2016, the Vigilance and Anti-Corruption Bureau (VACB) had filed an FIR against Vellappally after preliminary enquiry against him on a plea by former Chief Minister and senior CPI(M) leader VS Achuthanandan.
Achuthanandan, during his tenure as opposition leader in the previous UDF government from 2011 to 2016, had filed a complaint before the UDF government seeking a probe into the scam. Achuthanandan had alleged irregularities in the micro-finance transactions of the SNDP Yogam - the largest and most powerful community organisation of the Ezhava community in the state.
In April this year, the High Court allowed the VACB to continue investigation in the scam while considering petitions for quashing the FIR by Vellappally and another accused Najeeb.
The court however removed Najeeb, former Managing Director of the Kerala State Backward Classes Development Corporation (KSBCDC) from the list of accused.
The court directed the probe to be completed within eight months.
As per the FIR by VACB, SNDP Yogam received Rs 15.85 crore from KSBCDC for disbursing loan to self-help groups among the financially backward between 2003 and 2014, but misused and misappropriated the money.
Vellappally meanwhile responded by saying that the move of the police is in view of the bye-election of Chengannur scheduled to be held on May 28.
Vellappaly is a millionaire businessman and has been heading SNDP for decades. Thushar is Vice-President of SNDP Yogam and also State President of BDJS.