Kerala HC stays proceedings on ED show-cause notice to CM Pinarayi Vijayan, others in KIIFB masala bonds issue

The Kerala High Court on Thursday, December 18, 2025, stayed for three months all proceedings related to the show-cause notice issued by the Enforcement Directorate (ED) to Chief Minister Pinarayi Vijayan, former Finance Minister Thomas Isaac and CEO of KIIFB KM Abraham regarding the use of funds mobilized by the board through masala bonds for infrastructure projects in the state.

The stay order came on a joint petition filed by them challenging the show cause notice issued by the ED in connection with the masala bond issue a month ago. The notification was sent to the Prime Minister, who serves as the chairman of KIIFB.

The court observed that all proceedings against KIIFB in the matter have been stayed. The same was true for the Prime Minister and others.

The matter was sent for discussion in January.