₹1,000 crore TASMAC liquor scam? ED raids shake Tamil Nadu, DMK hits back

The Enforcement Directorate (ED) has uncovered alleged financial irregularities worth ₹1,000 crore in Tamil Nadu State Marketing Corporation Limited (TASMAC), the state-run liquor distributor. The findings came after extensive searches conducted across multiple districts on March 6 under the Prevention of Money Laundering Act (PMLA), 2002. Officials recovered incriminating documents pointing to large-scale corruption involving distilleries, TASMAC officials, and private entities.

According to the ED, TASMAC officials allegedly accepted bribes from liquor manufacturers to manipulate tenders and secure supply contracts. Reports indicate that TASMAC outlets overcharged ₹10-₹30 per bottle beyond the maximum retail price (MRP), generating unaccounted revenue. Investigators also found records of manipulated bar license tenders, where contracts were awarded to entities without proper GST, PAN, or KYC details. Transport tenders were reportedly rigged, with some contracts awarded despite having only a single applicant in the final bid.

The ED claims to have identified multiple distilleries and bottling companies involved in the alleged scam, including SNJ, Kals, Accord, SAIFL, and Shiva Distillery, along with Devi Bottles, Crystal Bottles, and GLR Holding. These entities allegedly fabricated expenses and inflated sales figures, allowing illicit cash flow that was later withdrawn and used as kickbacks to secure increased supply orders from TASMAC. The investigation is ongoing, with scrutiny of seized records to trace all individuals involved.

The Bharatiya Janata Party (BJP) accused the ruling Dravida Munnetra Kazhagam (DMK) government of attempting to divert attention from the scam by spreading rumors about the three-language policy and National Education Policy (NEP). BJP leader Amit Malaviya alleged that Tamil Nadu Chief Minister MK Stalin was using misinformation to shift focus from the ED raids. BJP MLA Vanathi Srinivasan urged the Tamil Nadu Assembly Speaker to address the allegations, citing Rule 55.

The opposition All India Anna Dravida Munnetra Kazhagam (AIADMK) intensified its attack on the DMK government, with Leader of Opposition Edappadi K Palaniswami demanding that the administration take moral responsibility and resign. “ED has said that there has been TASMAC corruption of more than ₹1,000 crore. Investigation is going on. It is possible that there has been over ₹40,000 crore of corruption in TASMAC,” Palaniswami stated. AIADMK staged a walkout during the Tamil Nadu Budget 2025-26 session, protesting against the alleged scam.

Tamil Nadu Excise Minister Senthil Balaji dismissed the allegations, claiming that TASMAC’s bar tender process has been conducted online for four years, eliminating malpractice. “In the name of searches, the ED has conducted raids but has not specified the year the FIR was registered. Without any basis, they have accused us of ₹1,000 crore of corruption,” Balaji said. The Tamil Nadu government has yet to issue an official response to the ED’s findings.