CHENNAI: In the FIR that the Directorate of Vigilance and Anti-Corruption registered against former minister and DMK leader V Senthilbalaji and others, it alleges an elaborate and intricate web of corruptions that is spread across all levels and aspects of liquor trade in Tamil Nadu through State-run Tasmac.
According to the agency, the list of accused includes Senthilbalaji; former managing director of Tasmac, S Visakan, who was shunted out to Science City as its vice-chairman after the TVK-led government came to power; a serving IPS officer’s brother Rathesh Raj, who was very influential when the DMK was ruling the State; two former senior regional managers; Senthilbalaji’s former personal assistant; and others.
They all entered into a criminal conspiracy, abused their official positions, and caused substantial loss to the government exchequer by manipulating Tasmac's procurement and licensing processes, the DVAC alleged.
According to the FIR, revenue to the government from sales through Tasmac retail shops increased significantly year after year. However, in contrast, revenue from bars attached to the shops declined sharply.
In Coimbatore, the Nilgiris, Tirupur, Erode, Namakkal, and Karur districts, 284 of the 857 Tasmac bars were officially shown as closed. However, these bars continued to operate on the ground without renewal of their licences, it alleged.
As per government instructions, any bar that fail to submit the monthly demand draft should have been closed and a fresh tender should be floated. However, the FIR alleges that district managers and other Tasmac officials colluded with bar owners and failed to follow the prescribed procedures, resulting in a revenue loss of Rs 17.27 crore in Coimbatore North, Rs 13.58 crore in Coimbatore South, and Rs 1.95 crore in Nilgiris during 2022-23.
According to the FIR, all the bars in Karur district were allegedly run by Mulanoor Karthik and his associates, who allegedly formed an organised crime syndicate. It further alleges that politically connected persons in Coimbatore, Karur, and other districts collected party funds from bar owners, and that the syndicate came to be known as the "Karur Gang".
The FIR describes Rathesh Raj as a central figure, who allegedly operated as a power broker in Tamil Nadu's liquor administration ecosystem. It alleges that S Visakan, the then managing director of Tasmac, acted on Rathesh Raj's directions, allegedly based on instructions from the then minister Senthilbalaji.
According to the FIR, Rathesh Raj exercised direct and undue influence over official decision-making in Tasmac. It alleges that he issued informal but authoritative directions relating to the approval of liquor brands, manipulation of bar licence tenders, and administrative transfers, including those involving DRO-level officers.
The FIR further alleges that senior Tasmac officials, including Visakan, favoured a few distillery companies by supplying liquor from these selected manufacturers even when retailers had not placed any demand for those brands, indicating favouritism and corrupt practices.
It also alleges that Tasmac outlets collected amounts in excess of the MRP, charging up to Rs 500 extra for foreign liquor and between Rs 10 and Rs 100 above the MRP for other liquor brands between 2021 and 2025 in an organised manner.