“Serious Allegations Made”: Madras High Court Seeks Details On ₹397 Crore Transformer Procurement During Senthil Balaji's Tenure

The Madras High Court on Thursday (26th February) called for details of the preliminary enquiry that had been undertaken into a Rs. 397 crore scam in procuring transformer tenders during the tenure of Senthil Balaji as the Minister for Electricity and Prohibition and Excise from 2021 to 2023. The bench of Chief Justice Manindra Mohan Shrivastava and Justice G Arul Murugan also called for minutes of the tender committee meetings. The court wondered how all the bidders who participated in the tender could have quoted the same price, causing huge financial loss to the state exchequer. “Serious allegations have been made. It is the matter of procuring transformers. Quoting the same price, tender was awarded to all parties for procuring transformers, approximately 26,300 in number and very high rates as compared to otherwise. Thereby huge financial loss to the extend of Rs. 397 crore to public exchequer,” the court noted. The cases were filed by Arappor Iyakkam NGO and members belonging to other political parties seeking the State to register an FIR against the persons involved in the case. The petitioners had informed the Court that though they had sent representations to the State, no action had been taken, prompting them to approach the court. When the matter was taken up on Thursday, the Advocate General informed the court that the DVAC was conducting a preliminary inquiry into the issue. To this, the Court commented that the State had been conducting a preliminary inquiry into all cases, which did not seem to have any end. “If you complete your preliminary enquiry, there wouldn't be a need for them [the petitioners] to approach the court,” the Court orally remarked. The petitioners also argued that the State had delayed sanction under Section 17A of the Prevention of Corruption Act for initiating prosecution against the former Minister. The State, however, objected to it and pointed out that the sanction had been granted now. The State also argued that the petition was being filed with an ulterior motive by persons belonging to other political parties with the elections just around the corner. The State thus argued that the petitions should not be entertained and must be dismissed. To this, the Court commented that just because the petitions have been filed by persons belonging to some political party, it could not dismiss it when serious allegations are involved. “Time has come. We cannot keep ignoring a matter just because the people belong to some political parties,” the court orally remarked. The petitioners also informed the Court that though the first petition was filed in 2024, till date, the State had not filed any counter. The Court then directed the State to file its counter within a week and adjourned the plea. Case Title: Arappor Iyakkam v. The Director and others Case No: WP 8166 of 2024

“Serious Allegations Made”: Madras High Court Seeks Details On ₹397 Crore Transformer Procurement During Senthil Balaji's Tenure

Upasana Sajeev

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