Thiruvananthapuram: The Kerala Infrastructure Investment Fund Board (KIIFB), established to spearhead the state’s massive infrastructure development, has plunged into a severe political and financial controversy. Startling reports have emerged revealing that KIIFB officials, ranging from office attendants (peons) to Additional Secretaries, are drawing immense sums of money over and above their monthly salaries under the guise of “Project Allowances” and consultancy fees.
The Three-Way Cash Flow
According to leaked details, money is reportedly flowing into the pockets of KIIFB employees through three distinct channels:
Regular Monthly Salary: The standard remuneration designated for their respective positions.
Doubled Project Allowance: Cadre, deputation, and working arrangement employees are receiving a sweeping ₹20,000 per month as a “Project Allowance.” This allowance was quietly doubled from ₹10,000 to ₹20,000 on December 5, 2024. Sources state this blanket allowance was introduced to appease regular staff after widespread criticism erupted over a 10% annual salary hike exclusively given to contract employees and high-ranking officials, including former CEO K.M. Abraham.
KIIFCON Consultancy Fees: Over and above the salary and project allowance, staff supporting the operations of ‘KIIFCON’—KIIFB’s dedicated consultancy wing—are receiving an additional monthly fee of nearly ₹20,000.
In total, select employees are walking away with up to ₹40,000 in extra monthly perks alongside their basic pay.
Government Cracks Down
Moving swiftly against what is being deemed as institutional extravagance inherited from the previous Pinarayi Vijayan administration, the newly formed V.D. Satheesan government has initiated steps to rein in the financial excesses at KIIFB.
The government has officially constituted a high-level, 5-member committee chaired by retired IAS officer Sudha Pillai to thoroughly investigate KIIFB’s functioning, allowance structures, and financial allocations. The panel is expected to submit a comprehensive review to curb unnecessary government spending.
