Cash-for-jobs ‘scam’: TN Minister Nehru rejects ED’s allegations, slams Centre

The Tamil Nadu government on Wednesday (October 29) dismissed allegations of a massive cash-for-jobs scam in the state's Municipal Administration and Water Supply (MAWS) Department as a politically motivated smear campaign by the Centre, while Opposition leaders demanded an immediate investigation.

The alleged scam centres on the recruitment of 2,538 candidates for vacant posts in the department, a process hailed by the MK Stalin-led DMK government as a "historic achievement" but now under scrutiny by the Enforcement Directorate (ED) for alleged irregularities involving bribes up to Rs 35 lakh per post and a staggering Rs 888 crore in illicit transactions.

What Minister said

In a statement, MAWS Minister KN Nehru categorically denied any wrongdoing, accusing the ED of dredging up an old bank fraud case to malign the Dravidian model government ahead of elections.

Also read: ED uncovers alleged cash-for-jobs scam in TN, asks state cops to probe

"With a political motive to tarnish the image of the Dravidian model government, the Enforcement Directorate has dug up an old bank case from several years ago. Yesterday's letter regarding job appointments in the Municipal Administration and Water Supply Department is yet another failed attempt," Nehru said.

He detailed the recruitment process, which began in 2019 to fill up the vacancies that plagued administration during the AIADMK's decade-long rule from 2011 to 2021.

"Due to insufficient appointments back then, vacancies piled up, causing immense administrative hurdles," Nehru explained.

'Not a single complaint received'

To fill 2,019 initial positions, an announcement was issued through Anna University on February 22, and was later expanded to 2,569 posts. A dedicated website was created for transparent applications, attracting 249,000 submissions. All were scrutinised, with over 100,000 candidates receiving online hall tickets and appearing for written exams at 591 centres across 38 districts, conducted and evaluated by the autonomous Anna University, he said.

"Results were published online on September 20, 2024. Notably, not a single complaint was received from the lakh of applicants, underscoring the fairness of the process," Nehru emphasised.

Certificate verification and interviews were conducted via 13 expert committees for 7,272 degree and diploma candidates. Final selections — 2,538 in total — were made through merit, reservation quotas, and counselling, with the list released on July 4, 2025, after the Supreme Court lifted all interim stays from pending cases, the minister said.

Chief Minister Stalin personally distributed appointment letters on August 6, 2025.

Nehru slammed the ED's intervention as "unbearable jealousy" over this milestone. "Anna University, a world-class autonomous institution not under departmental control, has conducted similar recruitments even under the previous AIADMK regime in 2012, 2013, 2014, 2015, and 2017. Claiming interference only in 2024's exams is laughable."

Nehru also vowed legal action if needed. "Such politically driven efforts to tarnish transparent hiring — where 2 lakh applied, over 1 lakh wrote exams, and selected candidates are excelling — will never succeed. We strongly condemn them and will take all lawful measures to counter."

AIADMK attacks DMK regime

AIADMK general secretary and Leader of Opposition Edappadi K Palaniswami lambasted the DMK regime, dubbing it a government of "corruption everywhere, in everything."

He alleged a "job racket" in the MAWS recruitments, with irregularities uncovered through Income Tax and ED raids across Tamil Nadu, pointing to over Rs 800 crore in money laundering.

“Complaints revealed bribes of Rs 25-35 lakh per candidate collected by Minister Nehru, his brothers' companies, and officials, funnelled through hawala networks and firms for illegal transactions," Palaniswami charged.

He claimed the scam unfolded in 2024-25 and 2025-26, with the ED submitting a detailed report — including documents and suspect details — to Tamil Nadu DGP urging an FIR under anti-corruption laws.

BJP Tamil Nadu’s ex-president K Annamalai also attacked the DMK government. "Out of 1.12 lakh applicants for 2,538 posts in early 2024, thousands of deserving youth — who studied hard — were denied chances because they couldn't pay the Rs 35 lakh bribe. The DMK crushed their dreams under its greed."

Annamalai slammed Stalin for handing out letters for a photo-op on “job creation, oblivious — or complicit — in the hawala-fuelled sale of these posts."

He has demanded accountability and called for "a thorough CBI investigation, monitored by the judiciary, to hold those auctioning jobs and looting resources answerable”.