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HC refuses to interfere with punishment imposed on retired TNCSC official
HC refuses to interfere with punishment imposed on retired TNCSC official

The Hindu

time26-05-2025

  • The Hindu

HC refuses to interfere with punishment imposed on retired TNCSC official

The Madurai Bench of the Madras High Court has refused to interfere with the punishment imposed by the disciplinary authority on the then Regional Manager of Tamil Nadu Civil Supplies Corporation (TNCSC) of Ramanathapuram region. The court was hearing a petition filed in 2018 by P. Soundarapandi, who retired as Regional Manager, TNCSC, in 2017. When he was working as Regional Manager of Ramanathapuram region, disciplinary proceedings were initiated against him. The petitioner was handed a punishment of censure. The suspension period was treated as leave on loss of pay. The appeal against the punishment was rejected. Challenging it, the current petition was filed. Justice B. Pugalendhi observed that the petitioner was issued with a charge memo that bricks and clay were mixed with paddy in four procurement centres. As a supervisory authority he failed to monitor and a fraud was committed. The paddy was procured by both the Central and the State governments to provide food grains to the needy at a subsidised rate under the public distribution system. The governments were spending huge amounts for the scheme. The governments had also issued various guidelines in ensuring the quality of paddy procured through the centres, the court observed. The petitioner could not take advantage of the fact that being the Regional Manager he was not responsible for any irregularities committed in the procurement centres. The irregularities were grave in nature which did not occur in one centre but in four centres, the court observed. The higher level and supervisory officers were appointed in order to ensure that their subordinates functioned in a proper manner. The court was not inclined to accept the contention of the petitioner that as a Regional Manager, he was not responsible for the fraud committed in the procurement centres. Since the petitioner was imposed with censure, as per Chapter V of the Tamil Nadu Civil Supplies Corporation Limited Employees Service Regulations, he was entitled for the relief of treating the suspension period as leave period, the court observed.

Exhibit availability of ombudsman at offices of local bodies in prominent manner, says the Madurai Bench
Exhibit availability of ombudsman at offices of local bodies in prominent manner, says the Madurai Bench

The Hindu

time23-05-2025

  • Politics
  • The Hindu

Exhibit availability of ombudsman at offices of local bodies in prominent manner, says the Madurai Bench

The Madurai Bench of the Madras High Court has directed the Secretary to the Department of Municipal Administration and Water Supply to ensure that the availability of ombudsman is exhibited prominently at all offices of local bodies. Justice B. Pugalendhi observed that the Tamil Nadu Local Bodies Ombudsman Act was enacted in 2014 to address complaints against the elected members of the local bodies, and also officers and employees. The aim was to ensure transparency in the functioning of the local bodies. The ombudsman is the authority for conducting inquiries into the charges of corruption, irregularities, or maladministration against public servants of local bodies under Section 2(10) of the Act. If any public servant is involved in corruption, favouritism, nepotism, or abused his/her position for gain, the ombudsman shall entertain the complaint and decide on it as provided under the Act. The Act also provides a penalty for vexatious complaints. The availability of ombudsman must be displayed prominently at all the offices of local bodies to enable members of the public avail themselves of the benefits under the Act, the court observed. The court was hearing a petition filed by K. Paunraj, the then Commissioner of the Puliyangudi Municipality. He was facing complaints before the ombudsman. He challenged an order passed by the ombudsman referring the complaints to the Directorate of Vigilance and Anti-Corruption (DVAC). Major allegations were made against the petitioner, including corruption, amassing of wealth, obtaining of community certificate fraudulently for getting public employment. The court pointed out that Section 6(4) of the Act enables the ombudsman to utilise the services of any officer or an investigating agency of the government or any other agency for conducting inquiries. It said it could not find fault with the order passed by the ombudsman. It pointed out that a case was registered against the petitioner by the District Crime Branch, Coimbatore, on the charge of misappropriation of public funds when he was the Commissioner of the Valparai Municipality. Yet another case was registered by the DVAC, Tenkasi, against him for allegedly amassing wealth disproportionate to the known sources of his income. The court dismissed the petition.

Objective of TNPID Act is to ensure that victims get back their money, says HC
Objective of TNPID Act is to ensure that victims get back their money, says HC

The Hindu

time20-05-2025

  • Business
  • The Hindu

Objective of TNPID Act is to ensure that victims get back their money, says HC

The objective of the Tamil Nadu Protection of Interests of Depositors (TNPID) Act was to ensure that the victims get back their money and registration of an FIR alone would not serve any purpose, observed the Madurai Bench of the Madras High Court while hearing petitions pertaining to Neomax financial fraud case Justice B. Pugalendhi observed that the data provided by the Economic Offences Wing (EOW) disclosed that not even 10% of the amount had been disbursed to the victims. The government had a moral responsibility to ensure that the victims got back their money. The court observed that TNPID Act was enacted to regulate financial establishments that were exploiting depositors by promising high returns and subsequently defaulting on repayments leading to widespread public distress. Many such entities had emerged in Tamil Nadu targeting the middle class and poor investors often leaving them without any effective recourse leading to societal and economic suffering of the public. The government introduced the legislation in public interest to protect the depositors' rights. It appears that the EOW officers are under the impression that they are supposed to act/prosecute only after a case was reported. They have to understand that they are also liable to prevent such offences. If any company was offering interest above the rate of interest prescribed by the Reserve Bank of India, it was the duty of the EOW to ascertain from the company whether they have any registration or authority to collect the deposits and whether they were having means to give higher returns, the court observed. Though every month such cases were being reported, greedy people were also depositing money without ascertaining whether the companies were genuine or not. Special courts have been constituted to deal with offences of such nature. Provisions have been made to seize the properties and bank accounts of the accused and to realise the amount. A very few people have benefited out of this Act and got their money back. It appears mainly because of the outdated procedures. The EOW was established not only to prosecute offenders, but also to ensure that the amount cheated by the accused is appropriated and disbursed to the victims, the court observed.

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