Sri Vijaya Puram | The special ED court has postponed to November 21 the bail plea hearing of K. Murugan, former Managing Director of the Andaman & Nicobar State Cooperative Bank (ANSCB), even as the Enforcement Directorate expands its money-laundering investigation into the institution. Court records accessed by The Wave Andaman show that the agency has named 38 individuals and companies in its complaint, indicating a widening inquiry into suspected fund diversion, irregular loan approvals and the alleged use of shell entities to mask financial transactions.
Murugan, regarded as a key figure due to his leadership during the period under scrutiny, was not produced before the court during the previous hearing. The Jail Department informed the court that he had been admitted to the male surgical ward of GB Pant Hospital. His counsel, currently on the mainland, attended via video conferencing, after which the bail petition was formally filed. The ED has sought his custody under Section 187(2) of the Bharatiya Nagarik Suraksha Sanhita (BNSS) read with Section 65 of the Prevention of Money Laundering Act (PMLA), arguing that further interrogation is necessary to clarify his alleged role and trace the flow of funds across multiple entities.
The chargesheet names former Member of Parliament Kuldeep Rai Sharma, K. Kalaivanan, Sanjay Lal, Sanjeev Lal, Raghubir Singh, T. Vinod, Vinita Sharma and J. Sasi Kumar among those examined. Officials familiar with the probe said statements recorded under PMLA procedures, bank documents, digital data and forensic audit findings form the backbone of the case.
In addition, 29 companies have been listed, with investigators alleging that several were used to layer transactions, obscure beneficial ownership or conduct transfers without meaningful business activity. Forensic audits have flagged circular deals, overlapping ownership and unexplained cash flows, prompting the ED to scrutinise additional financial and digital records.
All other accused individuals remain in judicial custody. The court’s decision on Murugan’s bail plea on November 21 is expected to influence the next phase of the investigation.
