The Kerala High Court on Friday, 9 October 2026, directed the state's Vigilance and Anti-Corruption Bureau (VACB) to register an FIR in the CMRL-Exalogic financial dealings case, scrapping the Crime Branch's Special Investigation Team (SIT) formed earlier in the matter. The directive has ignited a sharp political confrontation in Thiruvananthapuram, with the Bharatiya Janata Party (BJP) demanding the resignation of former Chief Minister and current Leader of Opposition Pinarayi Vijayan, the Communist Party of India (Marxist) (CPI(M)) raising due-process concerns, and the Congress-led state government pledging to study the order before acting.

What the High Court Directed

The court cancelled the SIT that had been constituted by the Kerala Police's Crime Branch in the CMRL-Exalogic case and mandated that the VACB's special investigation team register the FIR instead. The order opens the way for the bureau to probe allegations involving CMRL, Exalogic, Pinarayi Vijayan, his daughter Veena, her husband and CPI(M) legislator P.A. Mohammed Riyas, and others named in the matter.

What the Government Said

State Home Minister Ramesh Chennithala said the government would examine the High Court order before deciding on further steps, and rejected suggestions that the ruling was a setback for the administration. 'I have not seen the High Court order. Once it comes, we will look into it and do the needful. Is it not essential to examine the details of the order?' he said.

Chennithala explained that when the Enforcement Directorate (ED) first sought action, he had forwarded the communication to the State Police Chief, who obtained legal opinions before opting for a preliminary inquiry. 'The opinion we received was to commence a preliminary probe, and we went ahead with it. Now the court says otherwise. Let the order come, and we will do the needful,' he added. 'This is no setback for the government. We acted after seeking legal opinions, and we will continue to do so,' he said.

CPI(M) Raises Natural Justice Concerns

Senior CPI(M) leader and close aide of Vijayan, M.V. Jayarajan, questioned the court's decision to issue the directive without first hearing the former Chief Minister or other persons implicated in the matter. 'We all know how the ED functions. The court has given an order, but neither Vijayan nor anyone else was heard before it was issued. The question of denial of natural justice, therefore, arises,' Jayarajan said. He maintained that the CPI(M) would contest the case both legally and politically.

BJP Calls for Vijayan's Resignation

Senior BJP legislator and former Union Minister V. Muraleedharan rejected the CPI(M)'s natural-justice argument, asking why Vijayan had not chosen to implead himself in the case when he had the opportunity to do so. BJP state vice-president Shone George, who has pursued the matter from the outset, went further, declaring that Vijayan had 'no moral right' to continue as Leader of Opposition after the court's order. George alleged that the case involved corrupt practices during the previous government's tenure and dealings involving black money, and said Vijayan should step down if he had any sense of moral responsibility.

Political Stakes Ahead of Assembly Session

The High Court's order is widely expected to dominate the nine-day sitting of the Kerala Legislative Assembly beginning Monday, giving the ruling treasury benches fresh ammunition to target Vijayan and the Left. The case has already drawn in multiple central and state agencies, and the VACB's next move — whether it registers the FIR promptly or seeks a legal review — will set the tone for what follows. The political and legal battle over the CMRL-Exalogic matter is far from settled.