Kochi, June 29 (IANS): The Enforcement Directorate (ED) has reiterated that the Kochi-based mining company Cochin Minerals and Rutile Ltd (CMRL) had paid Rs 1.72 crore to Exalogic Solutions -- the IT firm owned by Kerala Chief Minister Pinarayi Vijayan's daughter, Veena -- in the name of software services without rendering any service.

The ED made this disclosure in a recent statement filed in the Kerala High Court against the CMRL of having committed cognizable offences under the money laundering act, and this was one such payment.

The issue of Veena Vijayan's IT firm receiving a hefty amount first surfaced last year in a media report which attributed the findings to a statement of the Income Tax Department.

The matter was then actively and aggressively taken up by Congress legislator Mathew Kuzhalnadan.

Eventually, the top brass of the Communist Party of India-Marxist (CPI-M) dismissed all allegations as baseless, terming the entire matter 'a business deal between two professional companies'.

However, Kuzhalnadan continued sticking to his position. The Congress MLA was later also accused of usurping government land, and a case was registered against him.

The ED made these remarks after some officials of CMRL approached the court to quash the proceedings that had been initiated.

The court will take up the matter for a hearing again on Monday.

Besides ED, the Serious Fraud Investigation Office and the Registrar of Companies have also been looking into the matter.

Political observers believe that things are getting tough for both the Kerala Chief Minister and his daughter, with the ED once again saying it has "evidence" in the matter.