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KUALA LUMPUR, Jan 23, 2015:

Under fire MIC president Datuk Seri G. Palanivel has been accused of committing fraud in the party in a bid save his position.

Former MIC central working committee (CWC) Datuk R. Ramanan and Youth chief Datuk S.A.Vikneswaran, hit out at their president alleging that he channeled money out of the party to set up MIC “branches” that would be in favour of him.

Vikneswaran claimed almost 800 branches were formed in 2012.

“The money to set up a branch is usually paid by the branch chairman and its members. Who gave Palanivel the right to use MIC money to open these branches?” he asked during a fiery press conference on level 2 of the MIC headquarters here today.

Vikneswaran alleged that these branches were set up three years ago by the Cameron Highlands Member of Parliament in order to secure support just in case a re-election was called in 2013.

“These branches don’t exist. This was part of the sworn statement given by former party treasurer-general Senator Datuk Jaspal Singh to the Registrar of Societies.”

Vikneswaran said these testimonies were part of the reason Palanivel’s camp has run scared and started condemning the RoS.

He said that the president’s men were complaining that RoS was being afraid out of fear the claims would be verified.

“They are worried.”

Vikneswaran also believes that even the hunger strike by Datuk G. Kumar Aamaan was a ploy to distract the people from the main issue and went on to accused the president of diverting this issue by using Kumar.

Kumar went on a hunger strike at 2pm yesterday to protest RoS’s decision which declared the former’s appointment as the secretary-general on Jan 4 as invalid.

Former MIC strategic director Datuk Seri S. Vell Paari said that “paying for a branch” was equivalent to fraud.

To form a new branch, he explained, one must first seek permission from the RoS but this did not happen.

“Why did they not go to RoS, did they even have members to begin with? If they did, they could have easily gone to RoS to make it legal.”

Ramanan also claimed that Palanivel hired his relative, Thamil Selvan, to “take care of branches and its members”.

He alleged that Thamil was paid a monthly salary of RM15,000 which amounted to 16% of the entire party collection of members’ fees.

Palanivel could not be reached for comments at the time of publishing.  

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