The Directorate of Vigilance and Anti-Corruption (DVAC) informed the Madras High Court Bench here on Thursday that it was probing into alleged diversion of funds to the tune of Rs.5.35 crore by Tuticorin district panchayat between the financial years 2006-07 and 2009-10.
In a counter affidavit filed in reply to a public interest litigation petition seeking a police probe into the issue, the DVAC officials stated that the office of the Rural Development and Panchayat Raj Secretary had received a complaint with regard to diversion of funds as early as on August 22, 2011.
The complaint made by a resident of Tuticorin taluk stated that the money allotted for panchayat works had been diverted to Water Resources Organisation of the Public Works Department “with a corrupt motive” and the diverted funds had been utilised to execute work of poor quality.
Acting on the instructions of the Secretary, the Commissioner of Rural Development and Panchayat Raj directed Additional Director K. Rajamani to enquire into the issue. Accordingly, Mr. Rajamani submitted a report on August 10, 2012, after making a field visit and perusing the official records.
The enquiry report stated that the PWD officials who executed the work had caused a loss of more than Rs.2 crore to the government by committing various malpractices in execution of the work and that the then District Panchayat Chairman N. Chinnadurai was also responsible for the loss.
After receiving the report, the Commissioner recommended a detailed enquiry by the DVAC. The task was given to a Deputy Superintendent of Police who collected voluminous records and cross checked them with the assistance of an independent civil engineer.
Stating that a detailed enquiry, a pre-requisite for registration of a First Information Report, was already under way, the DVAC claimed that there was no necessity for the court to order a police probe as sought by the PIL petitioner M. Ganesan, a resident of Tuticorin, through his counsel W. Peter Ramesh Kumar.
