ED raids on Pinarayi reopen the Centre-vs-states fight as the court walks back on Governors
An ₹18.36-crore freeze on Kerala's ex-CM revives 'weaponised agencies' charges; the Supreme Court's November opinion narrows its own April ruling that had reined in Governors
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Summary
The India Centre-versus-states fight sharpened on three fronts in 2026. In late May the ED raided former Kerala CM Pinarayi Vijayan in the CMRL-Exalogic money-laundering case, freezing ~₹18.36 crore across 242 accounts; opposition leaders, DMK's Stalin, AAP's Kejriwal, RJD's Tejashwi, the CPI(M), called it "weaponisation" of agencies (the Bharatiya Janata Party and RSS-aligned outlets call it due process). Vijayan is now ex-CM, the LDF having lost the 2026 Kerala election to Congress. On Governors, the Supreme Court's 8 April 2025 ruling against Tamil Nadu's Governor, barring "pocket vetoes" and using Article 142 to "deem" bills assented, was substantially narrowed by a 20 November 2025 advisory opinion holding courts cannot fix timelines and "deemed assent" is unconstitutional. On fiscal federalism, Karnataka's Siddaramaiah convened opposition CMs to contest the 16th Finance Commission formula.
By the numbers
- ~₹18.36 crore, ED freeze across 242 bank accounts; ~10 premises searched (May 2026).
- 8 April 2025, SC ruling that 10 Tamil Nadu bills were illegally withheld by the Governor.
- 20 November 2025, Constitution Bench opinion narrowing that ruling (no timelines, no deemed assent).
- 102 / 35, Kerala 2026 seats: Congress-led UDF vs Vijayan's LDF (he is now former CM).
- 8, opposition CMs Siddaramaiah invited to a fiscal-federalism conference.
- 4.131%, Karnataka's contested devolution share under the 16th Finance Commission.
Why it matters
This is the institutional underside of Narendra Modi's dominance: when the BJP cannot win a state at the ballot, opposition CMs argue, it leans on the ED, CBI, Governors and the devolution formula. The court's retreat on Governors removes one check just as the agency cases multiply, feeding the delimitation fear that the south is being politically squeezed.
What to watch
- Whether the CMRL case produces charges or stalls, and how courts treat the ED freeze.
- Opposition states' response to the narrowed Governors doctrine and any fresh bill standoffs.
- The 16th Finance Commission's final devolution formula and southern-state pushback.
- Whether the agency-misuse charge coheres into a unified 2029 opposition line.