The Enforcement Directorate (ED) has intensified its probe into alleged corruption within Tamil Nadu's Municipal Administration and Water Supply (MAWS) department, directly implicating state minister K N Nehru. In a significant development, the central agency has sent a second detailed communication to the Tamil Nadu Chief Secretary and the Director General of Police (DGP) within 36 days, levelling serious charges of bribery and money laundering.
Details of the Alleged Scam
According to the ED's latest 252-page document, Minister K N Nehru, through his relatives, allegedly orchestrated a scheme to collect bribes from contractors. The agency claims that between 7.5% to 10% of the total contract value was demanded and collected as "bribes and party funds" for tenders awarded by the MAWS department. The ED estimates the total amount collected through this method to be a staggering ₹1,020 crore.
The communication details that tenders for various public works were manipulated. The finalization of contractors allegedly happened much before the official bid opening dates, after the bribes were collected. The scam reportedly encompassed a wide range of contracts, including:
- Building community toilets
- Outsourcing sanitation workers
- NABARD projects
- Construction of sweeper quarters
- Village road works
- Water and lake-related projects
Evidence and Investigation Trail
The ED has compiled what it claims is substantial evidence to back its allegations. The documents submitted to the state authorities include photographs, WhatsApp chats, and detailed bribe calculation sheets. Furthermore, the agency has provided a breakdown of how the illicit money was allegedly laundered through hawala operations and layered bank transfers.
This evidence was seized during ED searches conducted in April this year in Chennai, Trichy, and Coimbatore. These raids were initially part of an investigation into a bank fraud case being probed by the CBI's anti-corruption branch in Chennai. However, after the First Information Report (FIR) for the original predicate offence was quashed, the ED has been acting under Section 66(2) of the Prevention of Money Laundering Act (PMLA), 2002. This section empowers the ED to forward evidence of scheduled offences to the relevant state authorities, urging them to initiate an investigation.
Minister's Response and Political Repercussions
When contacted for his response, Minister K N Nehru stated that he was not aware of any such communication received by the state government from the ED. He added that he would not be able to comment on the allegations until the documents officially reached him. This is the second such letter from the ED in just over a month, following an earlier communication on October 27 that alleged a cash-for-job scam within the same MAWS department.
The repeated communications from a central investigative agency to the highest levels of the state bureaucracy signal a deepening probe into the administration's tender processes. The allegations, involving a serving minister and a sum exceeding one thousand crore rupees, are likely to have significant political and administrative repercussions in Tamil Nadu, potentially leading to a major confrontation between the state and central agencies.
