DVAC probe into Karur road projects puts former DMK minister EV Velu under scrutiny
FIR alleges ₹3.23 crore was released for road works that were not executed; Stalin calls the action politically motivated as the Vijay govt intensifies its anti-corruption drive
After an aggressive election campaign that promised to end corruption in Tamil Nadu, the C Joseph Vijay-led government appears to be making its first major moves on that front.
The Directorate of Vigilance and Anti-Corruption (DVAC) on Wednesday (June 24) registered an FIR (V&AC Headquarters Crime No. 3/2026) against DMK leader and former Public Works, Highways and Minor Ports Minister EV Velu, along with 10 others, for the alleged misappropriation of public funds in road projects in Karur district. The case stems from a detailed complaint filed on April 20, 2022, by Jayaram Venkatesan, convenor of Arappor Iyakkam.
Road payments under scrutiny
Government sanction under Section 17A of the Prevention of Corruption Act was granted on June 23, a day before the FIR was registered. Raids and searches at multiple locations linked to the accused began early on Thursday.
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According to the FIR, tenders for road widening, riding-quality improvement and cross-drainage works in the Karur (Highways) C&M Sub-Division (TPR-007) were awarded to contractor Sankaranand Infra for around ₹7 crore in March 2022. However, it is alleged that payments amounting to ₹3.23 crore were released on March 25 and 28, 2022, even though no work had been carried out. The sanctioned amount for the four projects was approximately ₹4.19 crore, meaning nearly 77 per cent of the funds were allegedly released in advance.
The FIR states that ₹76.62 lakh was paid for riding-quality improvement works on the abandoned NH-7 stretch of the Varanasi-Kanyakumari road, ₹98.80 lakh for works on the Manmangalam-Nanniyur road, ₹26.80 lakh for the Nerur-Thalavapalayam to Pudur-Nanniyur road project, and ₹1.21 crore for the widening of the Karur-Esanatham-Koombur-Viriyampatty road. Together, these payments amounted to ₹3.23 crore.
Complaint cites wider irregularities
The complaint also referred to similar alleged irregularities in NABARD and Rural Roads projects in the Karur Sub-Division under the Erode Division, where around ₹1.5 crore was reportedly paid without any work being executed. Five officials associated with those projects were subsequently suspended.
The complainant further alleged that, instead of initiating criminal proceedings, roads were laid in haste on the night of April 8, 2022, under heavy police security, allegedly to destroy evidence related to the case.
According to the FIR, former minister EV Velu has been named as one of the accused in the case. Others named include senior and junior engineers, divisional accountants from Karur, Erode and other divisions, as well as contractor Sankaranand Infra. The FIR also mentions unidentified Highways Department officials and private individuals.
Stalin alleges vendetta
Responding to the developments, DMK president and former Tamil Nadu Chief Minister MK Stalin said Velu was cooperating with the investigation. In a post on X, Stalin said Velu would present his case before the courts and suggested that the action was politically motivated.
The FIR is among the first high-profile corruption cases pursued by the TVK government against members of the previous DMK regime.
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Since assuming office, the government has also carried out raids at sub-registrar offices that led to the seizure of unaccounted cash. Anti-corruption agencies have investigated bribery allegations in several departments, including cases involving government doctors accused of accepting bribes and electricity department employees allegedly involved in corrupt practices related to work orders. The government has presented these actions as part of a broader effort to tackle corruption within the state administration.
