Allegations of fraud
Meanwhile, the bitter feud between two factions of the All Kerala Gold and Silver Merchants Association (AKGSMA) has escalated, with one accusing the other of cheating the public and government by promising to raise funds to sponsor the Argentina football team’s visit to the state.
The association had previously undergone a significant split, resulting in two groups operating under the same name, each claiming legitimacy. The rift was so pronounced that both groups began setting separate gold rates.
The faction led by K Surendran of Archana Jewellary Kozhikode, has submitted a complaint to the chief minister, seeking action against the Justin Palathara faction for alleged fraudulent activities.
According to the former, the Palathara faction had announced a six-month-long ‘All Kerala Shopping Festival’ and launched a mobile app, ‘Oloppo’, to facilitate ticket sales, claiming to sponsor the Argentina team’s visit.
However, AKGSMA was later replaced as sponsors due to its inability to raise funds — with Reporter TV Broadcasting Ltd taking over the project. The Surendran faction alleges that the opposing group collected Rs 10,000 each from merchants for app membership and promised a 17.5 kg gold gift through purchases made via linked shops, but failed to deliver.
S Abdul Nasar, general secretary of the Surendran-led AKGSMA, expressed disappointment that the government and ministers had not verified the credibility of the sponsors before partnering with them. “It is very unfortunate that a group could easily fool the government and its ministers who inaugurated the Grand Kerala Shopping Festival. When a sponsor promises to mobilise such a large amount, at least their credibility could have been examined,” he told TNIE.
Moidu Varamangalath, state secretary of the Palathara faction, responded, saying, “This is a clear case of defamation, and we will take legal action. We voluntarily withdrew from the sponsorship due to constraints from central agencies that prevented us from raising funds on time. The allegations are baseless.”