CHENNAI: The Directorate of Enforcement (ED), Chennai Zonal Office, has exposed a sprawling corruption network involving government officials and consultants in Tamil Nadu following coordinated search operations across 16 premises in Chennai and Vellore on May 6.

The raids, conducted under the Prevention of Money Laundering Act (PMLA), 2002, targeted individuals linked to alleged kickbacks, shell companies, and illegal clearances in key state departments.

The ED initiated its probe based on a FIR filed by the Directorate of Vigilance & Anti-Corruption (DVAC) against S Pandian, superintendent of the TN Environment Department, and others. The FIR accused Pandian of amassing disproportionate assets, prompting a deeper investigation into a suspected money laundering nexus.

During the searches, the ED uncovered evidence of a systemic operation where consultants and brokers allegedly acted as middlemen, creating shell companies and consultancy firms to route bribes disguised as “service fees” or “consultancy payments”. Investigators revealed that fixed commissions were paid to officials to expedite illegal clearances across departments.

Key consultants identified in the scheme include Prabhakar Sigamony, AK Nathan, Naveen Kumar, Santhosh Kumar, and Vinoth Kumar. Authorities seized unaccounted cash totalling Rs 4.73 crore, intended for bribes, alongside incriminating digital records, property documents, and evidence of fund layering. The ED also identified multiple properties and assets acquired through “proceeds of crime” (POC), which are now being quantified for attachment under PMLA provisions.

In a notable incident, an employee associated with one of the consultants deliberately destroyed her mobile phone to obstruct the investigation. The ED warned of legal action against her for evidence destruction and non-cooperation.