Massive scams going on at KSFE: ED will come here as well; AK Balan gives warning in the presence of officers

KOZHIKODE: CPM leader and former minister AK Balan strongly criticized KSFE. AK Balan warned that there are huge scams including fake chittis happening in KSFE and that tomorrow ED will come here as well. He was speaking at the state conference of KSFE Officers Union.

"There were problems in KSFE even before the Karuvannur scam came to light. Some time ago there was an embezzlement of 25 crores in KSFE Co-operative Society. 21 of the 24 accused were from here. Most of them were innocent. How was an institution destroyed?

We have shown how to do it even before Karuvannur. How the fraudsters were able to bribe two officials from the cooperative department who came for the audit. Didn't we just stand there and watch? It will happen here as well if not today then tomorrow and it will affect the organization.

The state has taken strong action against the irregularities in KSFE. It is an institution with a good impression but that impression should not be ruined. If that happens, the central agency will come and cause problems there as well. The base of cooperative societies in Kerala is strong but the movement has been crucified because of a mistake in a couple of institutions. The agency that shouldn't have come, come there. Center's attitude towards the cooperative sector is negative. ED will not only reach the cooperative sector but also financial institutions like KSFE which are doing well. Therefore, the current impression and activities should be maintained," said AK Balan.