PMO Sanctions Prosecution of Two Tamil Nadu IAS Officers in ₹98.25-Crore Tender Scam Case
The Prime Minister’s Office (PMO) has approved the prosecution of two IAS officers, K.S. Kandasamy and K. Vijaya Karthikeyan, under the Prevention of Corruption Act, 1988, in connection with alleged irregularities in municipal corporation contracts worth ₹98.25 crore.
The Madras High Court has directed the Directorate of Vigilance and Anti-Corruption (DVAC) to proceed with filing the charge sheet against the accused, including former AIADMK minister S.P. Velumani.
Chennai: The Prime Minister’s Office has granted prosecution sanction against two serving or former IAS officers, K.S. Kandasamy and K. Vijaya Karthikeyan, in the long-pending municipal corporation tender irregularities case involving former Tamil Nadu Minister S.P. Velumani.
The development was brought before the Madras High Court on November 12, 2026. Taking note of the approval, Justice N. Anand Venkatesh directed the Directorate of Vigilance and Anti-Corruption (DVAC) to proceed with the process of filing the charge sheet against all the accused.
Additional Solicitor General A.R.L. Sundaresan, assisted by Central Government Senior Panel Counsel V. Chandrasekar, informed the court about the PMO’s decision and submitted a copy of the sanction order.
Following this submission, the court ordered the removal of the Department of Personnel and Training (DoPT) from the list of respondents in the contempt proceedings, observing that its continued presence was no longer necessary after completion of the prosecution sanction process.
Justice N. Anand Venkatesh Questions Delay in Granting Prosecution Sanction
During the hearing, Justice N. Anand Venkatesh expressed concern over the considerable time taken to obtain prosecution sanction against the two IAS officers. Commenting on the procedural difficulties involved in securing approval to prosecute senior public officials, the judge observed that the case illustrated the challenges associated with obtaining prosecution sanction against IAS officers in criminal matters.
The judge also made a pointed observation about delays in the justice delivery system, remarking – “The wheels (of law enforcement) move faster against poor people, but for influential people, the wheels hardly move.”
The court noted that the investigation had been completed several years earlier, yet the prosecution sanction had taken considerable time to materialise. It emphasised the importance of ensuring timely progress in corruption cases involving public servants.
Madras High Court Directs DVAC to Proceed With Filing Charge Sheet
After being informed that the PMO had granted the necessary sanction against K.S. Kandasamy and K. Vijaya Karthikeyan, the High Court directed the DVAC to move forward with filing the charge sheet against all the accused. However, Justice Venkatesh decided to keep the contempt petition pending to monitor the investigating agency’s progress in completing the filing process.
The court also directed that the DoPT be removed from the list of respondents, as its role in facilitating the prosecution sanction had effectively concluded.
Arappor Iyakkam Initiated Contempt Proceedings Over Delay
The contempt proceedings originated from a complaint filed by Arappor Iyakkam, represented by advocate V. Suresh. The organisation had raised allegations of irregularities in the award of civil contracts by the Greater Chennai and Coimbatore municipal corporations between 2014 and 2018.
The alleged irregularities relate to the period when S.P. Velumani served as Tamil Nadu’s Minister for Municipal Administration and Water Supply under the AIADMK government.
Following a complaint by Jayaram Venkatesan of Arappor Iyakkam, the DVAC registered an FIR in 2021 and subsequently completed its investigation.On February 12, 2024, the then Tamil Nadu Legislative Assembly Speaker, M. Appavu, granted sanction to prosecute former minister S.P. Velumani.
However, the required prosecution sanction against the two IAS officers remained pending. Citing the prolonged delay, Arappor Iyakkam approached the Madras High Court in 2025 and initiated contempt proceedings against DVAC officials.
High Court Intervenes to Expedite Prosecution Sanction
During earlier hearings, Justice N. Anand Venkatesh issued directions to the Tamil Nadu government to forward the relevant files to the Central Government for obtaining prosecution sanction against the two IAS officers. The court also took suo motu steps to implead the Department of Personnel and Training (DoPT), New Delhi, in the proceedings to facilitate the approval process.
Following the court’s intervention, the Tamil Nadu government forwarded its proposal for prosecution sanction to the DoPT, accompanied by extensive supporting documentation. The records also required translation from Tamil into English before further processing.
DoPT Explains PMO’s Role in Granting Sanction
During a hearing on September 16, 2026, Sushil Kumar Patel, Joint Secretary in the DoPT, informed the High Court that the Prime Minister’s Office was the competent authority to grant prosecution sanction against the two IAS officers.
He further explained that the DoPT had forwarded the relevant files to the Central Vigilance Commission (CVC) for its comments. The proposal would subsequently be placed before the PMO after the CVC submitted its observations.The DoPT official also assured the court that the process of obtaining the necessary approval would be completed within two months.
With the PMO now granting prosecution sanction against both IAS officers, a major procedural hurdle in the case has been cleared. The Madras High Court has consequently directed the DVAC to proceed with filing the charge sheet while retaining the contempt petition to monitor further progress.
The case concerns alleged irregularities amounting to ₹98.25 crore in municipal corporation contracts awarded between 2014 and 2018. The grant of prosecution sanction clears the way for further criminal proceedings; it does not, by itself, establish the guilt of any of the accused.
