S.P.Velumani is accused of causing state exchequer loss to the tune of Rs 500 Crore

S.P.Velumani is accused of causing state exchequer loss to the tune of Rs 500 Crore

S.P.Velumani is accused of causing state exchequer loss to the tune of Rs 500 Crore

Officials of the Directorate of Vigilance and Anti Corruption (DVAC) conducted searches at the premises of two AIADMK former ministers across Tamil Nadu in connection with two different cases.

Searches were held at 26 premises belonging to AIADMK leader S.P.Velumani, a party strongman from Coimbatore, over a case of replacing existing streetlights with LED lights in rural areas during 2015-28.

DVAC registered a criminal case against him over the allegation that he abused his official position in awarding tenders injudiciously to his close associated companies in replacing the lights with LED lights.

This has caused a loss to the government exchequer approximately to the tune of Rs 500 crore, DVAC sources said.

Based on the FIR, searches were held at 26 locations, including in Coimbatore, Chennai and Tiruchirappalli, they said.

Hearing the news of searches, a large number of AIADMK workers and leaders gathered in front of Velumani's house on Palakkad Main Road in the city, leading to tense moments, even as more police personnel were deployed.

Similarly, DVAC held searches against AIADMK's C.Vijayabaskar, former health minister, in connection with alleged irregularities in issuing essentiality certificate to a private medical college, against National Medical Commission regulations.

Based on the FIR, searches were being held in his native Pudukottai, Theni and Chennai among others, the sources added. Both leaders are sitting MLAs and are already under the DVAC scanner allegedly for accumulating assets beyond their income.