Arappor Iyakkam claims that the corporation awarded paddy transport contracts in July 2024 at Rs 598 per metric tonne — more than double the government-approved rate of Rs 288 — to companies with no experience. Photo: The Federal
TN activists held for protesting against ‘Rs 990-cr tender scam’
Protesters say that despite complaints being filed with CM, DVAC, and top officials way back in March, no action has been taken yet to cancel the tender
Members of the Arappor Iyakkam, a voluntary organisation in Chennai that tried to rename the Tamil Nadu Civil Supplies Corporation as the Tamil Nadu Christie Supplies Corporation in protest against an alleged Rs 992-crore paddy transport scam, were arrested on Thursday (July 10).
The activists, including Jayaram Venkatesan, Zakir Hussain, and Radhakrishnan, went to the Civil Supplies Corporation headquarters to hand over a mock name board reflecting their charge that the department was favouring one “Christie Kumarasamy” and his alleged network of shell companies in a large-scale tender scam.
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The allegation
Arappor Iyakkam claims that the corporation awarded paddy transport contracts in July 2024 at Rs 598 per metric tonne — more than double the government-approved rate of Rs 288 — to companies with no experience.
According to the estimation of Arappor Iyakkam volunteers, this inflated pricing results in a loss of Rs 310 per tonne. “With an annual procurement of 40 lakh tonnes, this translates to an estimated Rs 124-crore loss for a single cycle. Factoring in multiple transport legs per cycle, the total loss could reach Rs 496 crore annually or Rs 992 crore over two years,” Venkatesan said at the protest.
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No action on complaint
The protesters stated that despite complaints being filed with the chief minister, the Directorate of Vigilance and Anti-Corruption (DVAC), and top officials way back in March, no action has been taken yet to cancel the tender. Instead, the department is altering contract timelines dishonestly and shielding the involved parties, they alleged.
Arappor Iyakkam has demanded immediate cancellation of the tender, registration of FIRs, and the recovery of lost public funds. The arrests have drawn criticism from civil society groups over the state’s handling of corruption allegations.
