CHENNAI: The Directorate of Vigilance and Anti-Corruption (DVAC) has registered a fresh case over alleged irregularities in highway tenders awarded during the 2016-2021 AIADMK regime, targeting corruption in projects sanctioned by then chief minister Edappadi K Palaniswami’s highways and minor ports portfolio.
The case, filed last week, names retired executive engineer S Jagadeesan and several contractors, including KCP Engineers, a firm alleged to be close to AIADMK MLA and former minister SP Velumani. Both KCP Engineers and Velumani are already under the DVAC lens for alleged corruption in Chennai and Coimbatore corporations. The other contractors named in the FIR are RR Infra, JSV Infra, and SPK and Co.
According to the FIR registered by the DVAC’s Special Investigation Cell on October 17, the case involves substandard work in road and bridge projects in Thanjavur, Sivagangai, and Coimbatore, causing an estimated loss of around Rs 20 crore to the exchequer. Jagadeesan is accused of attesting fake work experience documents that helped JSV Infra win a tender fraudulently.
Interestingly, the DVAC did not name as accused even a single official from the state highways department though the corruption pertains to works sanctioned by them. This is because the department refused to give sanction under section 17(A) of the Prevention of Corruption Act through a letter on June 6, 2025. Two of the tenders under investigation were awarded 10 days before the Model Code of Conduct for the 2021 Assembly elections came into force.
The agency began a detailed enquiry in 2022 regarding performance based management contracts covering road improvements, strengthening and maintenance programme in Thanjavur and Sivagangai divisions of the state highways wing.
Additionally, they also looked at the tender given by the Coimbatore division for construction and extension of flyover along Athupalam and Ukkadam up to Oppanakara street in the city, the FIR stated.
The contracts were divided into multiple smaller packages and won by the accused contractors. For instance, RR Infra was awarded a Rs 655 crore tender for 208 km of road works, JSV Infra won a Rs 493 crore tender for 253 km road works on February 8, 2021, and KCP Engineers won a Rs 680 crore tender in 2020, which pertained to Thanjavur district. SPK and Co won a road works tender worth Rs 715 crore in Sivagangai district in November 2019, while RR Infra was awarded the Coimbatore flyover work in December 2017.
The DVAC probe found that JSV Infra lacked the mandatory five years’ experience in road maintenance but submitted forged documents from the Thanjavur corporation. When the state highways wing verified this with the corporation, then engineer Jagadeesan certified fake work certificates as genuine and even attested his signature. For other contractors, DVAC checked measurement books and found shortfalls in work quality or that works were executed without actually doing any work. Through this DVAC estimated that RR Infra caused a loss of Rs 1.65 crore, JSV Infra Rs 8.5 crore, KCP Rs 2.62 crore and SPK and Co caused Rs 7.73 crore, to the exchequer.
Jagadeesan was named as accused after taking prior approval from the Municipal Administration and Water Supply (MAWS) department. Highlighting that the state highways wing refused sanction, DVAC said that they would include the department’s officials as accused if new evidence emerges.
