The First Information Report (FIR) registered by the Directorate of Vigilance and Anti-Corruption (DVAC) against S.P. Velumani, his associates and firms related to him accused the former Minister and the sitting MLA of Thondamuthur of having run a ‘syndicate’ to accumulate wealth.
According to the FIR, the DVAC’s discreet verification disclosed that the fourth accused, R. Chandrasekar, publisher of AIADMK mouthpiece Namadhu Puratchi Thalaivi Amma and a close associate of Mr. Velumani, entered into a criminal conspiracy with him for the award of injudicious tenders; hence, the former Minister was running a syndicate.
It said that in pursuance of the criminal conspiracy, Mr. Velumani, by abusing his official position as a public servant, allowed Mr. Chandrasekar to dictate/direct the officials of the municipal corporation by sitting at his official residence at Roja lllam on Greenways Road in Chennai and at his residence at Sugunapuram in Coimbatore with respect to fraudulent award of the tender in a criminal partisan manner. Mr. Chandrasekar acted like a personal assistant to Mr. Velumani who allowed all the matters to be executed on his behalf in Chennai and Coimbatore.
The fifth accused K. Chandraprakash and Mr. Chandrasekar are the founders and major shareholders of K.C.P. Engineers Private Ltd., which received several injudicious work orders under the tenders applied by the firm during the tenure of Mr. Velumani, it said.
The FIR said Mr. Velumani, his brother and the second accused S.P. Anbarasan, Mr. Chandrasekar, Mr. Chandraprakash and other firms/individuals allegedly indulged in a criminal conspiracy for cheating and committing criminal misappropriation of several crores of rupee of the Government of Tamil Nadu and for abuse of official position by the public servant. Their alleged criminal acts are being investigated separately in a case registered by the DVAC in 2021.
The verification further disclosed that Mr. Velumani, with the sole intention of converting and accounting his own ill-gotten wealth received by plundering the exchequer through the fraudulent award of tenders, hatched a criminal conspiracy with the nine accused and their firms, Sri Maha Ganapathi Jewellers Pvt. Ltd.; P. Senthil & Co; Constromall Goods Pvt. Ltd.; Constronics India; Vardhan Infraa Structure; and Aalam Gold and Diamonds Pvt. Ltd.
According to the FIR, Sri Maha Ganapathi Jewellers Pvt. Ltd., 99% of shares of which are held by Mr. Anbarasan and his wife S.A. Hemalatha, showed sales of goods to the tune of ₹292 crore from 2016-17 to 2020-21. The sales volume shown during the period does not commensurate with the physical, legal and actual business activity on its business premises. The discreet verification disclosed that Mr. Velumani used the firm to convert and account for his ill-gotten wealth, it said.
The FIR said Mr. Anbarasan and his wife showed false purchases to the tune of about ₹53 crore in the name of jewellery during the period 2017-20. They allegedly inflated the volume of sales and showed a false income of about ₹10 crore, which is nothing but the illegal pecuniary resources of Mr. Velumani, the FIR alleged.
Mr. Anbarasan and wife purchased several landed properties and buildings worth ₹10 crore in and around and outside Tamil Nadu on behalf of Mr. Velumani and converted the ill-gotten money into legal money.
It further alleged that Mr. Velumani using his close association with other accused converted the ill-gotten wealth as unsecured loans to the firms Constronics India, Constromall Goods Pvt. Ltd., Vardhan Infraa Structure, Aalam Gold and Diamonds Pvt. Ltd., and P. Senthil & Co. Unsecured loans worth about ₹23.40 crore was received from Kolkata-based firms, about ₹1.75 crore from Mumbai-based firms/individuals, about ₹1.07 crore from Chennai-based companies and about ₹20.55 crore from a Hyderabad-based company. The accused used the unsecured loans which were not repaid at all for converting the unsecured loans into assets on behalf of Mr. Velumani, said the FIR.