The Communist Party of India (Marxist) district secretariat has denied misappropriation of funds collected for elections, construction of AKG Bhavan, and to assist the family of party martyr C.V. Dhanraj of Payyanur.
The CPI(M) was in a tight spot and faced criticism after allegations of misappropriation of funds of ₹80 lakh were raised at Payyanur. Following this, an internal committee was formed by the party, which filed a report after investigating the matter.
Based on the report, the party had taken action against the leaders in Payyanur. This included demoting Payyanur MLA T.I. Madhusoodanan from Kannur district secretariat to district committee, removing Payyanur area secretary V. Kunhikrishnan, who had lodged the complaint, and demoting area committee members K.K. Gangadharan and T. Viswanathan.