DMK demands DVAC probe against SP Velumani over tender irregularities

In his complaint, DMK organising secretary R S Bharathi accused Velumani of placing his benamis as directors in few companies shortly before contracts were awarded by the civic bodies of Chennai, Coimbatore, Salem, Tirupur and Tiruchy, as well as the State PWD, Chennai Metro Rail Limited and Chennai Smart City Limited.

“Velumani has abused his official position and exercised his personal influence as a minister to obtain contracts for the companies from the above-mentioned government entities, resulting in misappropriation of public funds and accumulation of disproportionate assets,” Bharathi said.

Turnover of the companies allegedly operated by the minister’s benami’s had jumped manifold, including 3,000 per cent in one instance after they had won government contracts, the petition alleged. 

Bharathi listed the companies, their propriety, exponential rise in turnover and details of contracts awarded to them, including one run by AIADMK Coimbatore rural youth wing leader Rajan Chandrasekar, who manages Namadhu Amma and the to-be launched News J channel.

Award of contracts under departments controlled by Velumani has been illegal, arbitrary, riddled with malpractices and contrary to the laws and regulations relating to public procurement and tenders. Through the ill-gotten wealth from these contracts, Velumani and his benamis have intentionally enriched themselves illicitly and used the above companies for laundering unaccounted money, Bharathi claimed. He also offered to produce documents to substantiate the allegations levelled against the minister.

Meanwhile, DMK president M K Stalin has demanded the resignation of Velumani. 

He has lost the moral authority to continue as the local administration minister for abusing power and awarding contracts to his relatives and friends to amass wealth disproportionate to his known source of income, Stalin said, adding that the minister should demit office to ensure free and fair probe into the tender allocation scam.