Tsunami fund embezzlement: Author Paul Zacharia on CBI chargesheet

The Central Bureau of Investigation (CBI) has filed a charge sheet against six individuals including well-known Malayalam author Paul Zacharia in the decade-old case on the alleged embezzlement of tsunami funds and violation of Foreign Exchange Regulation Act.

According to the charge sheet, two charitable organisations – Good Samaritan Project India (GSPI) and Catholic Reformation Literature Society (CRLS) – had received funds from Woorden Daad (W&D), a Holland based organisation exclusively for a housing project for tsunami victims. Both the organisations were registered under the Travancore Cochin Charitable Societies Act. The charge sheet said Zacharia was the secretary of CRLS.

According to the CBI, these two organisations misappropriated the money received from W&D, exclusively meant for building houses for tsunami victims.

At least 30 houses were built with the money received for 35 houses and the balance amount was transferred into the capital account. The annual statement furnished by these two organisations also was found false which caused wrongful gain to GSPI and CRLS and loss to W&D. According to the charge sheet submitted by CBI, GSPI has also misappropriated the fund given by W&D for constructing school for street children. GSPI started a school at Mulamthuruthi in Ernakulam for name sake which did not have the required recognition and necessary approvals from the government. The school was soon closed which also caused heavy loss to the funding organisation W&D, the charge sheet says. GSPI has allegedly sold the school and property to a real estate company without the knowledge and approval of W&D. It is also accused that both the societies continued receiving foreign contribution even after the cancellation of FC registration without the consent of MHA.

The CBI also accuses both the societies of submitting false return with respect to the receipt and utilisation of foreign contribution before the MHA. It is also alleged that the GSPI has received foreign contribution through non-designated bank accounts. That apart, the CRLS has not filed the annual return with respect to the receipt and utilisation of foreign contribution with MHA during 2014-15 and 2015-16. GSPI has purchased land in Kerala and Tamil Nadu and most part of this land were sold out later and the fund was incorporated into their capital account, the charge sheet said.

According to the CBI charge sheet, ₹4.64 crore was deposited in various banks. As per the constitution of CRLS (of which Zacharia was secretary), the organisation is mandated to strengthen the catholic reform movement in India ‘by making the gospel known to the Roman Catholics as it was rediscovered by the reformation’. For this purpose, Holland based organisations such as Stitching IRS, Bible in Every Home (BIEH) and Bible League Netherlands had donated funds to CRLS. All the three organisations are sister concerns of W&D). One of the tasks entrusted with CRLS was the translation of Bible. Thus Bible was translated into Malayalam and was distributed at a low price. The sale proceeds of the same was taken as the income for CRLS, states the CBI charge sheet.

It has also been found that CRLS started an institution named Indian Institute of Christian Studies from 1990 as a unit of CRLS with an objective to conduct research about Christianity. The Indian Institute of Christian Studies (IICS) was also funded by the same Holland-based donor agencies. IICS has constructed guest houses and seminar halls in various places in Kerala and those were given on rent for private functions including film shooting. A huge amount of money was earned from running these institutions for commercial purposes, which was a deviation from the objective for which the foreign aid was granted.

As per the FCRA rules of 2010, every person granted registration under FCRA shall maintain a separate set of accounts and records exclusively for the foreign contribution received and utilised. It is found that both GSPI and CRLS have not maintained such separate set of accounts and records for the foreign contribution received.

CBI has listed 43 charges against the entire accused including writer Paul Zacharia. Being the secretary of CRLS, he is responsible for the day to day functioning of the society, says the charge sheet.

When contacted, Zacharia told The Federal that he would go for legal means and does not want to comment further on the accusations.