Tamil Nadu: Multi-crore purchase of aluminium conductors under DVAC scanner

CHENNAI: The Directorate of Vigilance and Anti-Corruption (DVAC) on Wednesday conducted searches at 60 locations across Tamil Nadu as part of its investigation into alleged irregularities in the procurement of more than 2.07 lakh km of aluminium conductors worth over Rs 1,028 crore by TANGEDCO/TNPDCL between 2021 and 2023, when V Senthil Balaji of DMK was the minister. 

The searches were carried out at the residences and premises linked to TNPDCL officials, other public servants, private individuals, aluminium conductor manufacturers and bidders.

Tender-related documents, digital evidence, other incriminating materials and details of alleged shell companies were seized during the searches. The case was registered at the DVAC headquarters on June 30 under Sections 120-B, 420 and 409 of the IPC and Sections 13(1)(a) and 7(c) of the Prevention of Corruption Act, 1988, as amended in 2018.

According to DVAC, a discreet enquiry based on documents received from the Managing Director of TNEB revealed prima facie evidence of cognisable offences. The agency suspects that officials and private parties colluded with suppliers and misused their official positions, allegedly causing a substantial loss to the government exchequer.

The investigation found that multiple suppliers had quoted identical or similar rates and that tender documents had been uploaded from a common IP address, indicating possible cartelisation in the tender process.

The DVAC also found that the final rates quoted in the tenders were higher than rates available through the Government e-Marketplace (GeM) portal and other comparable procurement transactions during the period.

Energy Minister R Nirmal Kumar had said that while releasing the TNEB White Paper on June 25 that the State government had detected irregularities in purchase worth about Rs 1,028 crore in 9 conductor procurement tenders floated during the previous government. His disclosure had put the multi-crore aluminium conductor procurement under scrutiny, though details of individual suspects or the specific financial loss in the DVAC case are yet to be disclosed.

FIR not uploaded even after 50 days 

Chennai: The Directorate of Vigilance and anti-corruption – the State’s anti-graft agency – has not uploaded the FIR online, though it was registered one-and-a-half months ago. Though usually such FIRs are uploaded in public domain within 24 hours, the FIR related to this particular case was not uploaded. Officials claimed that it was the prerogative of the investigation officer to take the decision in sensitive cases like Pocso and other heinous crimes. However, it’s highly unusual for the DVAC not to have uploaded the FIR that was registered more than 50 days ago.