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Kerala CM Denies Rs 700-Crore Software Scam Alleged by Congress

The dispute over software for cooperative credit societies now hinges on rival accounts of why a TCS deal fell through.

Overview

  • Senior Congress leader Ramesh Chennithala on Friday alleged a ₹700 crore scam tied to a new software project for 4,415 Primary Agricultural Cooperative Credit Societies in Kerala.
  • He said a ₹206 crore contract cleared for Tata Consultancy Services in 2024, after a 2023 selection, was scrapped in 2025 and re-tendered with terms that kept big IT firms out.
  • According to him, only two Kannur-based cooperatives bid under the new tender, quoting ₹58 crore and ₹273 crore to cover 280 societies, which he extrapolated to about ₹915 crore statewide.
  • He added that the government is seeking Election Commission clearance during the Model Code period and said he will file a complaint to halt the award.
  • Kerala Chief Minister Pinarayi Vijayan on Saturday rejected the charge as false and said all procedures were transparent, asserting that TCS left the process in 2024 and that the tender stage had been completed in 2021.