Chennai, June 11:
The Madras High Court has directed the Directorate of Vigilance and Anti-Corruption (DVAC) to conduct a detailed investigation into alleged multi-crore irregularities in government infrastructure contracts and to initiate appropriate legal action against those found guilty.
The order came in response to a petition filed by social activist Veerappan from Villupuram district, who alleged large-scale fraud in the allocation of government contracts across multiple departments. According to the petitioner, information obtained under the Right to Information (RTI) Act revealed that contracts were awarded to select firms using forged documents and fabricated credentials, resulting in significant financial loss to the State exchequer.
The petition specifically highlighted that since 2022, more than 12 major infrastructure contracts across departments had been secured by two companies — Sea Rock Infrastructures and Sri Pathy Associates Private Limited — through fraudulent means. These projects include construction works under the Tamil Nadu Housing Board in CIT Nagar and Mugappair, desilting operations at the Kosasthalaiyar river estuary in Ennore, construction of 294 tenements in AV Pati Nagar in Thanjavur, and irrigation and flood mitigation works in districts such as Pudukkottai, Ranipet, and Mayiladuthurai.
Additionally, the plea pointed to projects such as the development of fishing harbours in Nellveli and Mayiladuthurai, alleging that both firms manipulated the tendering process by presenting fake competition and submitting forged subcontractor experience certificates to qualify for bids. The petitioner claimed that RTI responses had confirmed the falsity of these documents.
Despite submitting complaints in August 2025 to the DVAC, Water Resources Department, and Public Works Department, no action had been taken, the petitioner informed the court.
During the hearing before Justice Ilanthiraiyan, counsel for the petitioner, Advocate C.D. Johnson, argued that the scale of the alleged fraud warranted an independent and time-bound investigation, given the magnitude of financial loss and systemic manipulation involved.
Representing the State, the Advocate General submitted that the Chief Engineer of the Public Works Department had already constituted a committee on May 26 to probe the allegations and that an inquiry was currently underway into the tender irregularities.
After considering the submissions, the court directed the committee formed by the Chief Engineer to complete its investigation within eight weeks and submit a detailed report to the DVAC. Based on the findings of this report, the DVAC has been instructed to carry out a thorough investigation and take appropriate legal action against those responsible.