ED raids 11 locations in Kerala and Tamil Nadu in money laundering case

The Enforcement Directorate (ED) conducted raids at several locations across Kerala and Tamil Nadu on Wednesday, November 4, 2026. This action was carried out as part of an investigation into an alleged money laundering case linked to the 'Bharat Lajna Multi-State Co-operative Society' (BLM). According to ED sources, the agency is investigating at least 11 locations, including cities such as Kochi, Kozhikode, and Chennai. All these premises are linked to BLM's founding member, de facto chairman, and managing director R. Premkumar, and several others.

This operation was conducted under the Prevention of Money Laundering Act (PMLA). The raids come amidst an ongoing investigation by the Kerala Crime Branch against R. Premkumar. It is alleged that Premkumar misused his influence to transfer crores of rupees collected from public depositors into the accounts of his relatives and used them for personal gain. The Crime Branch arrested Premkumar on October 29 from his residence in Nungambakkam, Chennai. However, the Judicial First Class Magistrate Court in Kozhikode granted him bail, citing procedural lapses in the arrest. Currently, the police are making efforts in court to obtain permission to re-arrest him.

The police case originated from a complaint filed at the Nadakkavu Police Station in Kozhikode by a former CEO of BLM, alleging physical assault by Premkumar and several others. Although the complaint was later withdrawn, the Crime Branch, upon finding evidence of fund mismanagement, registered an FIR under sections 316(5) (criminal breach of trust) and 318(2) of the Bharatiya Nyaya Sanhita and proceeded with the investigation. After being released on bail, another case was registered against Premkumar for allegedly defrauding a woman in Kothamangalam of ₹1.6 crore. It is reported that the Crime Branch has investigated 320 bank accounts linked to this alleged scam. On the other hand, the society's top managers have denied the allegations of deposit fraud, claiming that BLM possesses assets exceeding its liabilities to depositors.

According to a report by 'The Hindu', the Bharat Lajna Multi-State Co-operative Society was established in 2006 in Chennai as a housing co-operative society. The organization had an extensive network, and at that time, approximately 150 branches were operational across Kerala, Tamil Nadu, and Puducherry. It was noted that more than 15 lakh members were associated with this society.