Irregularities in TNPDCL transformers purchase: CBI registers case

CHENNAI: The Central Bureau of Investigation (CBI) has registered a case in the alleged irregularities in the purchase of transformers by the Tamil Nadu Power Distribution Corporation (TNPDCL), previously Tangedco, when DMK’s V Senthil Balaji was the electricity minister. The irregularities allegedly caused a loss of Rs 397 crore to the exchequer.The anti-corruption branch of CBI (Chennai) has booked the then members of the tender inviting authority and the tender scrutiny committee as per the Madras high court's direction based on complaints filed by Arappor Iyakkam and AIADMK's advocate wing. Arappor Iyakkam, an anti-corruption organisation, in 2023 alleged corruption in tenders floated for the supply of distribution transformers with capacities ranging from 25 KVA up to 500 KVA between 2021 and 2023. It analysed 10 tenders floated by the then Tangedco to procure more than 45,000 transformers at a cost of Rs 1,182 crore and said more than 25 bidders quoted the same price in contravention of the provisions of the Tender Transparency Act and added that 500kVa transformers were purchased at the escalated cost of Rs 12.50 lakh, at least Rs 5 lakh more than the market price prevailing during the period. Since the Directorate of Vigilance and Anti-Corruption (DVAC) had not acted on his complaint, he moved the Madras high court seeking directions to DVAC to begin investigation. AIADMK's advocate wing too joined Arappor Iyakkam to demand a fair probe into the discrepancies. In April, the first bench of the Madras high court comprising chief Justice SA Dharmadhikari and Justice G Arul Murugan ordered for CBI into the allegations. Challenging the order, TNPDCL chief financial controller (CFC) V Kasi approached the Supreme Court, but the apex court refused to intervene and dismissed the plea. TNPDCL officials said they had already shared all relevant documents pertaining to the case to the central investigation agency.