Kochi: The Enforcement Directorate questioned CPM MP K Radhhakrishnan for eight hours on Tuesday regarding the multi-crore Karuvannur Co-Operative Bank scam. 

"ED sought clarification in some matters. They have not called again for questioning. CPM Thrissur District Committee did not have an account in Karuvannur Bank during or after my tenure," he said. 

The Alathur MP arrived at the ED's zonal office in Kochi around 11 am. It is reported that the ED quizzed him on CPM's relations and the party's financial transactions involving Karuvannur Bank. 

Radhakrishnan came under the ED’s radar as he was the district secretary of the party when financial irregularities worth ₹100 crore in Karuvannur Bank came to light.

The money laundering case stems from at least 16 FIRs registered by the Crime Branch of Kerala Police in Thrissur in July 2021, alleging irregularities in the CPM-controlled bank.

The ED claimed that "bogus" loans were sanctioned by the co-operative bank multiple times against the same property without the knowledge of co-operative society members.

Benami loans were sanctioned to non-members based on "inflated" property valuations in the names of other members, and such funds were "siphoned off" and "laundered" by the accused beneficiaries, the central agency had earlier stated.

The ED conducted raids in this case in August-September 2023 and arrested four people, apart from attaching assets worth ₹117 crore. In a press statement issued in January, the agency also claimed that benami loans were disbursed by the bank on the "instructions" of CPM district committee members and the party.