SC stays Madras HC order restoring disproportionate wealth case against former CM Panneerselvam

The high court, on October 29, set aside an order of a lower court permitting the prosecution to withdraw from a disproportionate wealth case against Panneerselvam and others, and discharging the accused.
Former Tamil Nadu Chief Minister O Panneerselvam.
Former Tamil Nadu Chief Minister O Panneerselvam. (File photo | EPS)
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NEW DELHI: In a major relief to former Tamil Nadu Chief Minister O. Panneerselvam and his family members, the Supreme Court on Friday stayed an order of the Madras High Court that had restored a disproportionate assets (DA) case against them.

A two-judge bench of the Supreme Court, comprising Justice Hrishikesh Roy and Justice S.V.N. Bhatti, issued a notice to the Tamil Nadu police and other authorities in response to a plea filed by Panneerselvam, challenging the High Court's decision. The bench also stayed the order of the Madras High Court, which had reinstated the DA case against Panneerselvam and some of his relatives.

In its order, the Supreme Court noted that the matter concerned the challenge to a suo motu criminal revision order passed by a single judge of the Madras High Court, under Section 397 of the Code of Criminal Procedure (CrPC), 1973. The bench stated, "Issue notice," and adjourned the matter.

The DA case against Panneerselvam dates back to 2012, when the Chief Judicial Magistrate (Special Judge) in Sivagangai had discharged him, accepting the prosecution's withdrawal of the case. The court had found no sufficient evidence to proceed with the charges.

However, in March 2023, Justice N. Anand Venkatesh of the Madras High Court initiated suo motu revision proceedings, citing the discovery of prima facie material against Panneerselvam. The High Court issued notices to Panneerselvam and other political figures, including several sitting ministers.

On October 29, 2023, the Madras High Court set aside the lower court’s order and restored the trial against Panneerselvam and some of his family members. The High Court also noted that the proceedings against two of the accused, who had died during the pendency of the case, would stand abated.

Panneerselvam, a senior leader of the All India Anna Dravida Munnetra Kazhagam (AIADMK), was accused of amassing wealth disproportionate to his known sources of income during his tenure as Revenue Minister from May to September 2001 and as Chief Minister from March 2002 to May 2006. The Directorate of Vigilance and Anti-Corruption (DVAC) had conducted a preliminary inquiry into the allegations and filed a case against him under the Prevention of Corruption Act. However, the DVAC later filed a closure report, citing a lack of sufficient evidence to prosecute him.

Panneerselvam has been battling legal and political challenges, including an earlier setback in January 2023, when the Supreme Court declined to interfere with the Madras High Court’s decision upholding his expulsion from the AIADMK.

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