Explained | What is the CMRL-Exalogic case linked to ED raids on Pinarayi Vijayan?

The controversy first emerged after an Income Tax Settlement Board order in 2023 reportedly referred to payments made by CMRL to Exalogic between 2017 and 2020.

The Enforcement Directorate’s (ED) raids at premises linked to former Kerala Chief Minister Pinarayi Vijayan on Wednesday (May 27) are tied to the ongoing Cochin Minerals and Rutile Ltd (CMRL) -- Exalogic case -- a controversy involving alleged financial transactions between Kochi-based mining company and IT firm Exalogic Solutions.

Exalogic Solutions is a Bengaluru-based company owned by T Veena, Vijayan’s daughter. The controversy first emerged after an Income Tax (IT) Settlement Board order in 2023 reportedly referred to payments made by CMRL to Exalogic between 2017 and 2020.

According to the findings cited in the order, Exalogic allegedly received around Rs 1.72 crore from CMRL without providing corresponding services.

The IT department described the payments as “monthly remuneration” allegedly paid to “keep influential persons satisfied”.

Opposition parties in Kerala accused Veena and the ruling CPI(M) leadership of corruption, while both Exalogic and the CPI(M) denied wrongdoing.

Veena has maintained that Exalogic entered into a legitimate software and consultancy agreement with CMRL and that the services were provided as part of the contract. The CPI(M) has vehemently denied the allegations terming them as 'politically motivated'.

The ED later registered a money laundering case under the Prevention of Money Laundering Act (PMLA), using the IT findings as a legitimate basis for investigation. The agency has since questioned several individuals connected to CMRL and Exalogic and conducted multiple searches linked to the probe.

A key legal development came on (Tuesday) May 26, 2026, when the Kerala High Court reportedly refused to quash the ED investigation, allowing the agency to continue its probe. A day later, the ED carried out raids at locations linked to Vijayan and others.