The Tamil Nadu Generation and Distribution Corporation was defrauded between 2001 and 2019, in connivance with its own officials.
The Enforcement Directorate (ED) carried out searches at 10 places in Chennai on 24 April related to officials of the Tamil Nadu Generation and Distribution Corporation (TANGEDCO) and the South India Corporation (SIC), a company of the Chettinad Group, in connection with the scam related to transportation of coal for the Electricity Department.
According to sources, these locations included the premises of the former director of coal at TANGEDCO, government officials, as well as key management personnel of the SIC and Western Agencies (Madras) Private Limited.
The investigation was initiated based on an FIR registered by the Directorate of Vigilance and Anti-Corruption in Chennai over TANGEDCO — a PSU of the Tamil Nadu government — being cheated through claims of excessive payments for coal transportation from the Visakhapatnam port, which amounted to hundreds of crores.
According to the ED, this loss to TANGEDCO occurred between 2001 and 2019, in connivance with TANGEDCO officials.
The initial tender was awarded for six months for transporting the coal from the Vishakapattinam port and was extended for 19 years based on an injunction petition filed by one of the related parties.
Sources from the ED told South First that duplicate bills were generated and passed on the levy, which was paid by the SIC.
“The SIC paid nearly ₹300 crore as the actuals of the levy to the Vishakapattinam port and was reimbursed around ₹1,000 crore from the TANGEDCO through the creation of fake bills with the help of senior officials of the department,” said an ED official.
During the search, incriminating documents — including digital evidence and property documents — were seized.
The search also led to the recovery of ₹360 crore lying as fixed deposits in the accounts of the SIC, which was seized as further investigation is in progress.
The time period when the scam happened spanned both DMK and AIADMK regimes.
The AIADMK was in power from 2001 to 2006 and 2011 to 2021, while the DMK was in power for five years — from 2006 to 2011.
May 04, 2024
May 04, 2024
May 04, 2024
May 04, 2024
May 03, 2024
May 01, 2024
