Kerala Government Drops Corruption Charges Against CM Satheesan in Foreign Funds Case
The Kerala government on Thursday (July 30, 2026) dropped corruption charges against Chief Minister V.D. Satheesan related to the collection of foreign funds for flood rehabilitation in his constituency. Home Minister Ramesh Chennithala announced that the Vigilance and Anti-Corruption Bureau (VACB) found no legal grounds to prosecute Mr. Satheesan, calling the previous government's case politically motivated.
The case stemmed from Mr. Satheesan's 2019 visit to the United Kingdom as Leader of the Opposition to raise funds for the Punarjani Project, which rebuilt flood-damaged houses and provided sewing machines in Paravoor, Ernakulam. The funds were raised through the Manappad Foundation, a registered entity under the Foreign Contribution Regulation Act (FCRA).
Chennithala stated that the VACB report showed Mr. Satheesan had no role in handling or disbursing the funds, and all transactions were legal and audited. He also criticized the previous Left Democratic Front (LDF) government for attempting to hand the case to the Central Bureau of Investigation (CBI) without evidence.
The VACB noted that suspected FCRA violations fall under the central government's purview, not the state's, and did not recommend a CBI investigation. The issue resurfaced during the 2026 assembly elections, seven years after the preliminary inquiry began.
Mr. Satheesan had previously accused the LDF of fabricating charges to divert attention from the conviction of former Transport Minister Antony Raju in a narcotics case.
