TASMAC Corruption Row: Tamil Nadu BJP Chief Annamalai Arrested Ahead of Protest

On Monday morning, the ruling Tamil Nadu BJP president K Annamalai was arrested by Chennai police, just hours before leading a protest against alleged financial irregularities within the government-run Tamil Nadu State Marketing Corporation (TASMAC). He was held near his Akkarai home on his way to a demonstration outside the TASMAC headquarters in Egmore.

Several senior BJP leaders, including former Telangana Governor Tamilisai Soundararajan, Mahila Morcha chief Vanathi Srinivasan, and MLA Saraswathi, were also arrested by police from different parts of the city. The police placed heavy security outside the Rajarathinam Stadium and detained several party workers who were set to march to TASMAC.

This protest comes after a recent ED probe alleged a Rs 1,000-crore corruption wheel inside TASMAC. ED investigation cited irregularities in tenders wherein eligible bidders were awarded transport contracts worth Rs 100 crores, often with only one applicant.

There are allegations that liquor manufacturers-SNJ, Kals, Accord, SAIFL, and Shiva Distillery-used Devi Bottles and Crystal Bottles, two bottling companies, to pay bribes to TASMAC officials for providing them with supply shortages. The ED is also looking into other instances of bribery and illegal transfers and overcharging of workers, while TASMAC shops are reported to have charged Rs 10 to Rs 30 more per bottle. When taken into custody, Annamalai had this to say: "This is a democratic protest, and the government squashed it. What happens if we do a sudden protest after giving no prior notice?"

The ED has recently carried out searches at various locations across the state and has found crucial documents and electronic evidence. The agency has claimed the fraud to be of inflating expenditures and through fake invoices thereby forming a chain of illegal cash within TASMAC.