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March 18, 2025

Tamil Nadu BJP Leaders Detained in Connection with TASMAC Protest

On March 17, 2025, several key BJP leaders, including Tamil Nadu BJP President K. Annamalai and former Telangana Governor Tamilisai Soundararajan, were arrested by Chennai police ahead of a protest against alleged financial irregularities in the Tamil Nadu State Marketing Corporation (TASMAC). The protest aimed to highlight a claimed Rs 1,000-crore corruption scandal within the state-run liquor agency, which has been under investigation by the Enforcement Directorate (ED).
Annamalai was stopped about 1 km from his home in Akkarai and detained while attempting to head toward the protest venue in Egmore. Soundararajan was arrested at her residence in Saligramam, where she had gathered her supporters before the demonstration. Other senior BJP leaders, including Mahila Morcha President Vanathi Srinivasan and BJP MLA Saraswathi, were also detained at different locations across the city as they tried to head towards the protest. Police had set up barricades and deployed additional personnel to prevent the protest from taking place.

ED Raids Reveal Manipulated Tender Processes and Bribery in TASMAC

The protest followed a series of raids by the ED, which has uncovered evidence of widespread corruption involving TASMAC, liquor distilleries, and bottling companies. According to the ED, several tender processes were manipulated, with transport contracts worth Rs 100 crore allegedly awarded to bidders who did not meet basic eligibility requirements. The investigation further alleges that distilleries funneled unaccounted cash through bottling companies and bribed TASMAC officials in exchange for inflated orders.
Annamalai, who had publicly announced the protest, condemned the actions of the government and accused the police of suppressing dissent. “Is it because we planned this protest in advance that you are acting so cowardly? What will you do if we protest without notice?” he said after his arrest. Soundararajan also voiced her concerns, stating she was arrested directly from her home as she prepared to join the protest and demanded that she be taken along with her supporters.

Excise Minister Denies Allegations, Calls ED Raids Politically Motivated

The ED’s investigation, which began with raids on March 6, has raised serious concerns about the financial operations within TASMAC, particularly regarding inflated expenses, fake invoices, and kickbacks tied to the liquor trade. Tamil Nadu’s Excise Minister, Senthil Balaji, denied the allegations, calling the ED’s actions politically motivated. He further stated that the corruption, if any, was related to bottling firms outside TASMAC, with no involvement from the state government.
Amidst the political tension, AIADMK leader Edappadi Palaniswami has also weighed in, alleging that the fraud could be much larger, possibly amounting to Rs 40,000 crore, fueling the growing controversy surrounding the issue. The arrests and the ED’s findings have further deepened the divide between the ruling DMK and opposition parties in the state.

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