Shell firms used to bribe ex-minister Vaithilingam, ED tells DVAC
CHENNAI: The Enforcement Directorate (ED), in a recent letter written to the Directorate of Vigilance and Anti-Corruption (DVAC), has shared details regarding an alleged money laundering operation facilitated by Shriram Properties and its managing director through shell companies in connivance with former AIADMK housing minister R Vaithilingam and his sons for getting approval for a housing project in 2015-16.
The ED's probe into the Rs 27.9 crore bribe allegedly paid by Shriram Properties to Vaithilingam has found that the amount was generated by a group company through dubious cash transactions disguised as payments received from 36 scrap vendors, sources said.
The ED's communication to the DVAC has been sent under Section 66(2) of the Prevention of Money Laundering Act (PMLA) which deals with sharing of information between investigation agencies.
ED has sent detailed evidence with the letter, including the order confirming attachment of properties worth Rs 100 crore in the case, sources said, adding that it may be to preempt the DVAC from filing a closure report in the case. However, DVAC officials declined to comment on the development.
'Bribe paid to get CMDA nod for 1.4K units'
ED had initiated the probe under PMLA after DVAC had filed two FIRs against the sitting Orathanadu MLA and his sons in September 2024. This was based on a complaint that Shriram Properties had paid the bribe in 2015-16 through linked firms to a company owned by the former minister's son.
The money was allegedly paid to facilitate Chennai Metropolitan Development Authority (CMDA)'s planning permission for building 1,453 apartment units at Perungalathur in Chennai. Shriram Properties and a few other related companies are also accused in the DVAC FIR.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
42 minutes ago
- Time of India
Maharashtra IT department emerges as primary cloud service provider for govt departments
Pune: Maharashtra's Information Technology Corporation Ltd (MahaIT) has become the main cloud service provider for govt departments. Senior state IT officials confirmed that several departments have already began migrating their data to MahaIT's cloud platform, marking a strategic shift in the state's data management approach. Tired of too many ads? go ad free now "It is a win-win situation — departments gain peace of mind regarding data safety and security, while we strengthen our capabilities in cloud services," said an official. The move has come in the aftermath of a major controversy earlier this year when MahaIT filed a criminal complaint against a private cloud vendor and its directors over alleged extortion and threats to delete sensitive govt data. The FIR accused the firm of breaching contract terms and blocking access to services for eight departments after invoicing for undelivered services. The matter escalated to Bombay High Court, which directed affected departments to transfer their data to MahaIT's cloud. Launched under Maharashtra's 2018 public cloud policy — the first of its kind in India — the state mandated all govt departments to store data on cloud platforms, opening a Rs 200 crore opportunity for cloud service providers. However, concerns over security and vendor reliability have since prompted a greater push for in-house cloud solutions. Currently, MahaIT is in discussion with multiple departments to broaden cloud adoption on its platform, aiming to consolidate govt data under a single, secure service provider. Many departments, such as the state registration department, the agriculture department, and many others, have shifted to cloud. "There are several departments that are already using cloud services. We will reach out to all departments and put across our services,'' an IT official added.
NDTV
an hour ago
- NDTV
IAS Officer Caught While Allegedly Accepting Bribe Of Rs 10 lakh In Odisha
Bhubaneswar: The Odisha Vigilance Department on Sunday caught an IAS officer allegedly accepting a bribe of Rs 10 lakh from a businessman, an official release said. Raids are underway at his official residence, from where Rs 47 lakh cash has already been recovered, it said. "The IAS officer, who is posted as sub-collector, Dharamgarh in Kalahandi district, has been caught red handed while demanding and accepting bribe of Rs 10 lakh from a local businessman, as an instalment of the overall demand of Rs 20 lakh bribe...," the department said in the release. The accused officer, in his mid-30s, "called the complainant to his official government residence at Dharamgarh, received the bribe amount... and kept the same inside his table drawer", it said. The department has registered a case against him under the Prevention of Corruption Act, and investigation is continuing, the release added.
Economic Times
an hour ago
- Economic Times
RBI's next interest rate cut action likely in December
Reserve Bank of India may keep interest rates steady in August. However, further reduction is expected later this year. This follows a larger-than-expected cut aimed at boosting economic growth. Most institutions anticipate a rate cut in either October or December. The central bank will also lower the cash reserve ratio to inject liquidity. These measures surprised the markets. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The Reserve Bank of India (RBI) is expected to hold interest rates in August but possibly make yet another reduction later this year, following its greater-than-expected cut on Friday aimed at bolstering growth.A poll by ET showed that eight out of 10 institutions expect a rate cut either in October or December while two do not expect any reduction until December. All participants expect a pause in August. Nomura is the only participant anticipating a25 bps rate cut in the October and December policy reviews. The next meeting of the RBI Monetary Policy Committee (MPC) is scheduled for August 4-6. A basis point is 0.01 percentage RBI announced a 50 bps reduction in the key repo rate to 5.50% — against expectations of a 25 bps cut — and shifted its stance to 'neutral' from 'accommodative'.Since then, economists and market participants have been debating the extent of further rate cuts that the central bank may take and by when, given governor Sanjay Malhotra's statement that monetary policy was left with limited space to support growth after having reduced the repo rate by 100 bps since February. He added that the future course of action by the MPC will be data other factors could come into play later in the year. 'The combination of a 50 bps repo rate cut and a shift in stance to neutral is a signal that the space for policy easing has been largely exhausted,' Nomura said. 'However, the policy outlook depends on the macro outlook. Beyond an August pause, we expect the easing cycle to continue and still see 5.00% as the terminal rate.'Possible uncertainties include the June-September monsoon, US tariffs and their impact on growth and the potential for inflation to come in below projections. Despite challenges, there's room for further reduction in the RBI's repo rate, most participants said. The monsoon made landfall earlier than scheduled and while the weather office has said it will be above normal, there's been a lull in rain in some parts of the country since then. Other areas have been hit by severe RBI will also lower the cash reserve ratio by 50 bps to 3% in phases, starting September, to infuse Rs 2.5 lakh crore liquidity in the system. Both measures — the extent of the rate cut and the CRR reduction — caught the markets off guard. 'Everything that had been forecast for this calendar year happened in one policy,' a bond trader said, reflecting the market's mood after the June 6 monetary policy the governor's statement on the limited space to support growth, some economists said the RBI is not just responding to short-term data, but is also aiming to help the Indian economy grow at its full potential. Malhotra has said that the aspiration is to grow at 8%, more than 6.5% projected by the central bank for FY26.
