Tamil Nadu Minister Refutes Rs 1,020 Crore Bribery Allegations as Political Vendetta Before Elections

Investigators claim they discovered a scheme in which government tenders were allegedly manipulated inappropriately.

Chennai:

Tamil Nadu's Minister for Municipal Administration and Water Supplies, K N Nehru, delivered a comprehensive rebuttal on Monday against the Enforcement Directorate's allegations regarding a Rs 1,020-crore bribery and tender-fixing scandal within his department. He characterized these accusations as "politically driven lies" orchestrated by the AIADMK-BJP coalition ahead of upcoming elections, affirming his intention to contest these charges through legal channels without intimidation.

"The ED has essentially become an extended arm of the BJP. I will confront these fabricated allegations through legal means. My accomplishments are causing sleepless nights for the AIADMK-BJP alliance," he stated firmly.

Nehru also highlighted that the High Court had previously dismissed the bank loan fraud case against his brother, which the ED claims led to their current accusations. "The High Court clearly ruled that no offense had occurred. Even the ED's FIR based on that case was quashed. Nevertheless, they continue to revive this propaganda at the BJP's instigation," he remarked.

In its communication to Tamil Nadu's Director General of Police and the Directorate of Vigilance and Anti-Corruption, the Enforcement Directorate urged the registration of a new FIR against the Minister. The agency alleges the existence of a corruption network valued at Rs 1,020 crore operating within the Municipal Administration Department. According to the ED, contractors allegedly paid between 7.5 percent and 10 percent of project values as bribes to secure contracts for toilet construction, civic projects, and outsourcing services.

According to investigators, they discovered a system where tenders were purportedly manipulated before being opened, directing contracts toward pre-selected companies. They claim bribes were distributed through both cash payments and hawala channels. As evidence, the ED references what it describes as substantial digital material, including internal contract files and payment records. Officials report these materials were found alongside more than 300 images and documents during an investigation into an unrelated bank loan scam. The agency also noted its recent allegations regarding a cash-for-jobs scheme within the same department, claiming 150 government positions were sold for Rs 25 to 35 lakh each – accusations Nehru had previously dismissed as politically motivated.

In his detailed statement delivered in Tamil, Nehru accused the BJP of weaponizing central agencies because, he claimed, they cannot tolerate the "Dravidian Model achievements" of his department. He emphasized that over the past five years, the state had constructed 24,752 kilometers of roads. He noted that more than 1.22 crore people had received protected drinking water through new pipelines and schemes, while additional projects were underway to extend safe water access to another 77.28 lakh residents.

The Minister also highlighted civic improvements, including the establishment of 1,762 public parks across municipalities, town panchayats, and corporations – such as the recently inaugurated Semmozhi Poonga in Coimbatore.

Describing infrastructure enhancements, Nehru mentioned the construction of 158 new bus stands throughout the state and contrasted Chennai's improved flood-management systems with the city's past performance under AIADMK governance. He stated the state had constructed 1,519 kilometers of stormwater drains ensuring that subways and major roads no longer flooded after rainfall. These accomplishments, he argued, represent the actual reason opposition parties and the ED were attempting to discredit him.

The opposition AIADMK demanded Nehru's immediate removal from the Cabinet.

Party spokesperson Kovai Sathyan told NDTV that Chief Minister M K Stalin could not continue protecting ministers facing serious corruption allegations. He suggested that if a single department faced bribery charges amounting to Rs 1,000 crore, the scale of corruption across 30 departments was unimaginable. According to him, the Chief Minister had forfeited all moral authority to remain in office.

The BJP intensified its criticism, insisting the DGP must file an FIR immediately. BJP spokesperson Narayanan Thirupathy informed NDTV that a massive fraud was clearly evident in the documents cited by the ED. He described the government's silence as "shameful" and claimed corruption had become the defining characteristic of the Dravidian Model. He cautioned that if police failed to act, judicial intervention would follow. Thirupathy maintained that the ED had fulfilled its legal obligation by notifying the DGP, leaving state police with no justification for inaction.

The ruling DMK vigorously contested these allegations, accusing the BJP of misusing central agencies as political instruments to target opponents in non-BJP states, particularly before elections. Party leaders argued the BJP lacked moral standing to raise corruption issues following the Electoral Bonds revelations. They observed that ED cases involving BJP allies often became dormant, while opposition leaders faced aggressive pursuit. They also emphasized that no FIR could be registered solely based on ED's allegations and insisted that the timing of the agency's actions clearly demonstrated political motivations.