ED raids P V Anvars residences in Rs 22.3-crore KFC loan fraud case

MALAPPURAM: The Enforcement Directorate (ED) officials on Friday carried out extensive searches at the residences of former Nilambur MLA P V Anvar and his driver Ziyad Ambayathingal in connection with a money laundering probe linked to an alleged loan fraud at the Kerala Financial Corporation (KFC), which reportedly caused a loss of Rs 22.30 crore. The raid, which began around 6.30am, went on for over 12 hours and concluded by 9.30pm. The ED team probing a case under the Prevention of Money Laundering Act, backed by CRPF personnel, reached Anvars house in Othayi early in the morning, secured the premises and commenced the search. A separate team simultaneously searched the KFC Malappuram office, Ziyads house and multiple office establishments linked to Anvar. The probe stems from a vigilance case registered on July 29 by the Thiruvananthapuram Special Investigation Team against KFC Malappuram chief manager Abdul Manaf, deputy manager Mini, technical officer P Muneer Ahmed, former MLA Anvar, and Ziyad. The case is that the loans were sanctioned without adequate collateral and in violation of key procedures. The vigilance probe followed a complaint by a Kollam-based industrialist and planter Murugesh Narendran, who later appeared before the ED and handed over what officials described as crucial evidence pointing to alleged black-money transactions involving Anvar. According to the probe, Ziyad was sanctioned a `7.50-crore loan on September 23, 2015, from the KFC Malappuram branch for construction purposes under Malamkulam Constructions Pvt Ltd., despite insufficient income proof. After there was default on repayment, the same property pledged as collateral was reused to grant two loans of `5 crore each totalling `10 crore to Anvar under PVR Developers on December 8, 2015. Officials allege that Ziyad concealed his existing liability and falsely certified that no dues to KFC existed, enabling disbursal of the later loans. The ED is now scrutinising the financial transactions of Malamkulam Constructions, PVR Developers, and other entities linked to Anvar and Ziyad as part of the money laundering probe.