Manjeshwar MLA Kamaruddin arrested in cheating case

An MLA from Kasargod district in Kerala was arrested by the police on Saturday in connection with a series of complaints of cheating investors of a jewellery business headed by him.

M C Kamaruddin, MLA of Manjeshwar and a leader of the Indian Union Muslim League, was arrested after quizzing for several hours. Already 115 cases were registered against Kamaruddin at police stations in Kasargod and Kannur districts that involved cheating to the tune of around Rs 15 crore.

Kamaruddin alleged that the arrest, which came a day after the local body elections in Kerala was announced, was a politically motivated move. He said that a case filed by him seeking quashing of the FIRs against him was scheduled to be considered by the High Court on Monday. Hence the swift arrest was planned as per the government's directive.

But the IUML leadership is unlikely to back the MLA. IUML is a key coalition partner of the Congress-led opposition United Democratic Front in Kerala.

The cheating pertained to Kasargod based Fashion Gold Jewellery business. Kamaruddin was chairman of the shop and IUML local leader T K Pookoya Thangal is managing director. The firm shut shutters in January citing business loss. The MLA earlier maintained that he could return all the investments and the present case was politically motivated. Around 700 people were said to have invested in the firm.

The Kerala police’s crime branch already took over the investigation in 77 of the cases and found solid evidence for cheating to the tune of Rs. 13. 3 crore. Hence the arrest was initiated, Crime Branch sources said. Pookoya Thangal is also likely to be arrested soon.

The investor started filing cheating cases against the MLA in August. Following pressure from investors, most of whom were from weak financial backgrounds, the IUML leadership in September directed Kamaruddin to repay all the investments within six months. But Kamaruddin did not submit the details of the liabilities to the party.

The CPM had earlier alleged that nine mahal committees of Kasargod had illegally invested in the MLA's jewellery business.

Kamaruddin was elected to the Kerala Assembly last year in the by-polls following the death of P B Abdul Razak. He also faced allegations pertaining to a land deal. A trust headed by Kamaruddin purchased two acres of land at Trikaripur in Kasargod from the Wakf Board at a very low rate. After the deal became controversial, the land was returned.