New Delhi, May 11: The Supreme Court has declined to intervene in a Madras High Court order that mandates a CBI investigation into alleged irregularities amounting to ₹397 crores in transformer purchases during the tenure of former Tamil Nadu Electricity Minister V. Senthil Balaji from 2021 to 2023.
A bench comprising Justices Vikram Nath and Sandeep Mehta dismissed a special leave petition (SLP) filed by V. Kasi, the financial controller of Tamil Nadu Generation and Distribution Corporation (TANGEDCO), challenging the High Court’s directive for a CBI probe.
During the hearing, senior advocate Siddharth Dave, representing TANGEDCO, argued that there was no specific plea for a CBI investigation before the Madras High Court. He claimed that the proceedings were politically motivated.
Dave stated, “There was no application for a CBI investigation before the High Court. This is a politically motivated case.”
However, the bench led by Justice Vikram Nath remarked that constitutional courts have the authority to direct independent investigations when necessary.
He noted, “We do not require an application. It depends on what the court thinks.”
The Supreme Court, while refusing to consider the petition, stated, “We are not inclined to entertain the special leave petition (SLP).”
Moreover, the Supreme Court clarified that the investigation should proceed independently and should not be influenced by any comments made by the Madras High Court during the directive for a CBI inquiry.
The Supreme Court ordered, “The investigation should not be influenced by the comments made by the High Court.”
On April 29, the Madras High Court directed the CBI to re-investigate alleged irregularities in the procurement of approximately 45,000 distribution transformers between 2021 and 2023.
The bench, led by Chief Justice S.A. Dharmadhikari and Justice G. Arul Murugan, instructed the Tamil Nadu Directorate of Vigilance and Anti-Corruption (DVAC) to transfer all relevant records to the CBI and to appoint an officer to lead the investigation within two weeks.
The High Court also directed the state government, TANGEDCO, and DVAC to fully cooperate with the central agency and ensure that all relevant documents are provided promptly.
Petitions were filed in the High Court by Arappor Iyakkam and various political party affiliates, alleging that officials failed to act on complaints demanding FIRs related to the alleged scam.
The Madras High Court dismissed the state government’s argument that the petitions were politically motivated and thus not maintainable because the petitioners were linked to rival political parties.
Following the Madras High Court’s order, DMK leader Senthil Balaji denied any wrongdoing in the transformer procurement process, asserting that the tendering process adhered to standards established since 1987.
He stated that the procurement typically involves participation from over 20 bidders, with final decisions made only after scrutiny by a technical committee and board approval.
He remarked, “This process is transparent and involves multiple verification stages before issuing purchase orders.”
Balaji also accused opposition parties, including the All India Anna Dravida Munnetra Kazhagam and the Bharatiya Janata Party, of attempting to influence investigative agencies for political purposes.
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