Masala bond issued as per KIIFB's decision: Thomas Isaac

KOCHI: Former Finance Minister Dr Thomas Isaac informed the Enforcement Directorate (ED) that the masala bond was issued as per the decision of the Board of Directors of KIIFB, which is chaired by the Chief Minister. He said that when he was the finance minister, he was only associated with KIIFB as a board member. The explanation came in reply to the ED authorities in Kochi who issued a notice to Thomas Isaac to appear for questioning last Monday.

"I am not personally responsible for issuing the bond. KIIFB's 17 board members make decisions. The Chief Minister is the Chairman of the Board", he added. Isaac informed that he acted as KIIFB Vice Chairman and Executive Committee member- the ex-officio positions as Finance Minister.

He had announced on Facebook the other day that he will not get KIIFB's documents and figures as he has vacated the ministry. The ED is investigating whether foreign exchange rules were violated in the issuance of masala bonds. The ED had asked for the figures of utilization of the amount collected through the bond. Isaac and KIIFB had approached the court when the first notice was issued. It was said in the petition that the notice is being sent unnecessarily. Then the ED informed the court that a notice is being withdrawn. Although notices were issued to Thomas Isaac to appear on January 12 and 20, he did not appear. The explanation was conveyed through a messenger.

Three ways for ED

In case of non-attendance despite serving three notices, the ED authorities will decide the next course of action. Isaac can be summoned again by giving notice. In case of non-appearance, the ED has the power to visit his place and question him. ED sources said that if necessary, he could be taken into custody and then to the ED office for questioning.

Didn't speak against CM

Thomas Isaac clarified that he never said a board meeting chaired by the Chief Minister decided to issue masala bonds and the responsibility rests with the Chief Minister. It was not mentioned in the reply to ED either.