Massive CSR Funds Scam Rocks Kerala, Involving Over ₹1,000 Crore and BJP & Congress Leaders

Kerala: A scam involving corporate social responsibility (CSR) funds has shaken Kerala, with over 200 cases registered and thousands of complaints pouring into police stations across the state. The fraud, estimated to have dodge over ₹1,000 crore, targeted victims with promises of discounted two-wheelers, laptops, and household appliances under the guise of a union government-backed CSR initiative.

At the centre of the scam is 26-year-old Anandhu Krishnan from Idukki, who masterminded the elaborate network of deception. Anandu lured victims by claiming they could purchase products at half the market price, with the remaining cost covered by CSR funds. Initially, some victims received their products, lending credibility to the scheme. However, as the operation expanded, deliveries were delayed, and eventually, victims were left empty-handed.

Political Connections Raise Eyebrows

What has made the scam even more alarming is its connection to influential political figures, particularly within the Bharatiya Janata Party (BJP). Investigations have revealed that several BJP leaders played a key role in promoting the fraudulent scheme, giving it legitimacy. At a high-profile launch event held at Ernakulam Marine Drive, Union Minister Shobha Karandlaje and BJP State Vice-President A. N. Radhakrishnan was seen endorsing the initiative. The event was organized by the Society for Integrated Growth of the Nation (SIGN), chaired by Radhakrishnan. The presence of BJP leaders, along with widely circulated posters and social media images, misled the public into believing the scheme was an official government initiative.

Adding to the confusion, images of Anandhu Krishnan with Prime Minister Narendra Modi were circulated, further bolstering the scam’s credibility. Anandhu also established a fake organization called the SEED Society (Social Education Economical Development Society), which he used to recruit members and expand his fraudulent operations.

Banking Scandal Deepens the Crisis

The financial operations of the scam have also come under scrutiny, with a BJP-led cooperative bank in Ernakulam district facilitating the withdrawal of nearly rupees 3 crore deposited by defrauded individuals. This has raised serious questions about the bank’s role in laundering the stolen funds.

Widespread Impact Across Kerala
The scam’s reach extends beyond Ernakulam, with local police in districts such as Kozhikode, Kannur, and Thrissur reporting similar patterns of cases. Community groups and charities were also targeted, with one charity losing approximately rupees 75 lakh after transferring funds for two-wheelers meant to be distributed to over a hundred people—only a fraction of whom received the promised goods.

Expanding Investigation and Political Fallout
The case has now expanded to implicate not only Anandhu but also several prominent figures within the BJP and local politicians. Congress leader Laly Vincent has also been named as the seventh accused in the case. The ongoing investigation has raised serious concerns about the misuse of CSR funds, which are intended to support underprivileged communities. Instead, these resources were allegedly funnelled into a fraudulent network that preyed on the hopes of those seeking affordable transportation and technology.
As the scandal unfolds, it has sparked outrage across Kerala, with calls for accountability and transparency in the handling of CSR funds. Authorities continue to investigate the case, with more arrests and revelations expected in the coming weeks.