"As the CM's office and Chief Minister himself is under a cloud of allegation, the investigation being carried out by ADGP (South Zone) is inadequate. Only a judicial probe would bring out the truth," he told reporters here.
He alleged that the UDF ministry has become a cheating company and warned that LDF would launch an agitation in support of its demand for a judicial probe.
"Under the circumstances, Chandy should explain his relation with Saritha Nair. Chandy is trying to put the blame on two personnel staff-- Tenny Joppan and gunman Slim Raj, whom
he removed after the scam broke out", Achuthanandan said.
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He also said Chandy appointed Salim Raj, ignoring an intelligence report that he had a criminal background.
LDF Opposition has been raking up this issue in the assembly during the past few days.
The woman was arrested in June 3 in connection with the financial cheating cases registered against her. She is now in judicial custody.
She and her estranged husband Biju Radhkrishnan, who is absconding had allegedly cheated a number of potential clients to the tune of crores of Rupees.
They promised to put up windmill farms and install solar panels in their buildings in return for large sums of money.
Since 2000, Saritha has allegedly been involved in more than 13 cases of cheating.
The raid was conducted as per the order of ADGP Hemachandran, head of the special investigating team entrusted to nab Biju, official sources said.