ED raids continue in TN; ex-TNPCB official, private firms under lens

The Enforcement Directorate (ED) on Tuesday (May 6) conducted raids at over 10 locations in Chennai, Vellore, and Kancheepuram, targeting a retired Tamil Nadu Pollution Control Board (TNPCB) official, S Pandian, and private companies.

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The ED claimed it found alleged evidence of bribes paid to senior officials for environmental clearances over the last few years. The raids, initiated under the Prevention of Money Laundering Act (PMLA) based on an Enforcement Case Information Report (ECIR), were based on a 2021 Directorate of Vigilance and Anti-Corruption (DVAC) FIR, accusing Pandian of amassing disproportionate assets during his tenure as superintendent in the environment department at Pudukkottai.

Searches in Chennai

In Chennai, the ED conducted searches in areas like KK Nagar, Saligramam, Ashok Nagar, Koyambedu, RA Puram, Kotturpuram, Saidapet, and Red Hills. The raids also extended to suburban and nearby districts. ED sources said among the targets were companies supplying environmental and medical equipment to TNPCB.

One of the key locations was the home and office of Alankarnathan, a businessman in Saidapet’s Srinagar Colony, who runs Ensys India Technologies, a biomedical waste management firm in Ashok Nagar. Another was Satham Hussain’s residence in Red Hills and his company, EHS 360 Labs Pvt Ltd, also in Ashok Nagar.

The ED also raided the home of Gunasekaran in Raja Annamalaipuram and his firm, Echo Care Engineering Pvt Ltd, in Koyambedu, where he is the managing director. In KK Nagar, officials searched the residence of Dr Varadarajan, rented by Dr Rajkumar, a pharmaceutical trader, and Dr Suseela Rajkumar, a professor and principal at a medical college. The most significant location was Pandian’s home in Virugambakkam’s Kaveri Street, where the retired TNPCB official has allegedly been under scrutiny since 2021.

Recovery in 2021

In 2021, the DVAC raided Pandian’s home in Saidapet’s Panagal Maligai and other locations for 18 hours, seizing Rs 1.37 crore in cash, 3 kg of gold jewellery, 3 kg of silver items, diamonds worth Rs 6 lakh, and property documents for 18 assets valued at Rs 7 crore.

According to the DVAC sources, they found that Pandian, who worked as a superintendent in the environment department, acted as a middleman, taking bribes to secure environmental clearances for businesses. This led to his suspension from service. The ED is now investigating whether these activities involved money laundering, focusing on illegal cash flows linked to environmental permits.

Crucial evidence

During Tuesday’s raids, the ED claimed that they have uncovered evidence of a network of brokers working across departments, including the TNPCB, to facilitate bribes for officials. The agency seized unaccounted cash and documents from private companies, which are being examined to trace their financial links.

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ED sources suggest the raids may have a link with earlier income tax searches involving Alankarnathan.