Sleuths from the Economic Offences Wing (EOW) of the police on Tuesday arrested five high ranking officials in connection with the Rs. 1.34 crore fertilizer scam that rocked the Tamil Nadu Newsprint and Papers Limited (TNPL) at Kagithapuram near here and the governmental agency TANFED two years back.The arrests coincide with the change of regime at Chennai and significantly the Chief Minister Jayalalithaa had, soon after the issue broke out, demanded tangible action against those responsible for causing loss to the Exchequer.

While two of the arrested are senior executives of the TNPL, one is an Assistant Director of Agriculture at Tiruchi, and another deputy manager with TANFED. Police said they were also on the lookout for three more persons in connection with the case. Based on a complaint from the deputy registrar of the Agro Engineering Services, Chennai, T. Pakkianathan, the EOW unit of the Karur police registered a case that certain individuals in their official capacity had colluded to cause a loss of Rs. 1.34 crore to the Exchequer by diverting the fertilizers such as Di Ammonium Phosphate and urea meant for distribution to farmers and bought at subsidised rates from TANFED to the TNPL for commercial purposes at lucrative prices.