KIIFB urges Kerala HC to quash ED complaint on Masala Bonds

• KIIFB urged the Kerala High Court to quash an ED complaint and show cause notice regarding the use of Masala Bond funds.
• The ED notice, amounting to Rs 467 crore, concerns alleged FEMA contraventions related to land acquisition for infrastructure projects.
• KIIFB argues that RBI's restrictions on 'real estate activities' do not apply to government land acquisition for infrastructure development.
• The Board claims the ED proceedings could jeopardize its funding for welfare projects, its credit ratings, and its image.
• The ED had issued a show cause notice to CM Pinarayi Vijayan, former finance minister Thomas Issac, and KIIFB CEO K M Abraham.

Why It Matters: Legal challenge threatens Kerala's infrastructure funding and financial stability.