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Madras High Court Transfers Tamil Nadu Transformer Tender Case to CBI for De Novo Probe

Concern over a possible cover‑up prompted the court to shift the case to the CBI.

Overview

  • Chief Justice S A Dharmadhikari and Justice G Arul Murugan directed a fresh CBI investigation, with the DVAC told to hand over all records within two weeks after Wednesday’s order.
  • TANGEDCO, the state government, and the DVAC must fully cooperate, and the court asked the CBI to move quickly, with a detailed order still awaited.
  • The bench cited a roughly 20‑month, unexplained delay in sanction under the Prevention of Corruption Act, a sanction limited to one official, and a 73‑page DVAC “preliminary” report that resembled a full probe, raising suspicion of a cover‑up.
  • Petitioners from Arappor Iyakkam alleged collusive bidding in tenders worth about ₹1,182.88 crore to buy roughly 45,000 transformers, saying seven of 10 tenders had 30‑plus firms quoting identical decimal‑level prices and later cutting quotes by near‑matching margins, causing an estimated ₹397 crore loss.
  • Former electricity minister V Senthil Balaji denied wrongdoing, saying long‑standing procedures were followed and no loss occurred, while PMK leader Anbumani welcomed the CBI move, signaling a probe that could test procurement practices and political accountability.