In a 12-point letter to DVAC, DMK alleges corruption by CM in Highway projects; demands criminal investigation

By SimpliCity News Team

Jun 14, 2018 07:30 PM

In a 12point complaint to the Director of Vigilance and Anti- Corruption by DMK, the party has alleged that Chief Minister Edappadi K Palaniswami, who also holds the Highways portfolio has allocated five Highways projects to his family members at inflated rates. The DMK has also alleged that the tenders were not allocated by following necessary procedures.

The opposition party alleged that the CM has even allocated highways project supported by the World Bank at inflated rates.


According to the complaint, the State Highways Department is implementing four laning of the stretch Oddanchatram-Dharapuram - Avinashipalayam of SH-37 from Km 37-400 to 108-400. The project is implemented under Deign, Build Finance Operate, Maintain and Transfer (DBFOMT) method. The party alleged that while the original estimate of the 70.2kms project was Rs.713.34 crores, the cost of the project has been increased to Rs. 1515 crores and the tender has been allotted to M/s Ramalingam & Co, a company owned by Edappadi’s son Mithun’s brother in law Chandrakanth Ramalingam. This project is assisted by the world bank.

In a second project, four laning of Tirunelveli Sengottai Kollam- SH 39 for a  total stretch of 45.64 km, the original estimated cost of the project was Rs.407.6 crores in addition to cash grant of Rs. 179.94 crores. According to the complaint, the project cost was subsequently revised and order was issued to implement this project at Rs. 720 crores. The actual cost for laying one kilometer of road, according to market norms comes around Rs.2.2 crores per kilometer. According to the complaint, the project was allotted to Venkatachalapathy Constructions, a company allegedly owned by Mithun ’s father in-law P Subramaniam and Edappadi Palniswami’s alleged binami S Nagarajan.

The opposition party has also leveled similar allegations in few other projects. The opposition party alleged that CM has conspired with the contractors and has committed criminal misconduct. They also alleged that only firms controlled by Edappadi’s son Mithun took part in the tender bidding and other possible bidders were dissuaded and eliminated from taking part in the bidding using intimidating tactics.  The party demanded the DVAC to register a criminal case against the Chief Minister and other contractors and conduct necessary investigations in the case. 

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