The Enforcement Directorate (ED) escalated its investigation into an alleged ₹1,000-crore liquor scam, questioning Tamil Nadu State Marketing Corporation (TASMAC) Managing Director S. Visakan for the second consecutive day at its Nungambakkam office.
The senior IAS officer faced extensive interrogation following raids at his Manapakkam residence and other premises on Friday, with searches resuming at his home on Saturday under the Prevention of Money Laundering Act (PMLA).
The ED’s probe, which now spans approximately 10 locations in and around Chennai, targets properties linked to senior TASMAC officials, liquor contractors, and entities awarded government contracts.
Also Read: Murdered for Just a Cigarette! Techie's Fatal Encounter in Bangalore
Among those under scrutiny is film producer Akash Baskaran of Dawn Pictures and a tech firm allegedly tied to state contracts. The agency suspects irregularities involving the diversion of government funds through shell companies and benami entities, fueled by intelligence inputs and financial transaction trails.
TASMAC, Tamil Nadu’s state-run liquor monopoly generating nearly ₹45,000 crore annually, is at the heart of the scandal. The ED alleges a sophisticated scheme involving tender manipulation, overcharging at liquor outlets by ₹10-30 per bottle, and kickbacks to secure supply orders from distilleries like SNJ, Kals, Accord, SAIFL, and Shiva Distillery.
Bottling firms such as Devi Bottles and Crystal Bottles are also implicated in inflating expenses to siphon off unaccounted cash, estimated at over ₹1,000 crore, which was allegedly used for illicit payments.
Visakan’s wife was questioned on Friday evening, and the ED is examining financial records, digital evidence, and statements to uncover the extent of the wrongdoing.
The investigation, sparked by 41 FIRs from the Directorate of Vigilance and Anti-Corruption (DVAC), has stirred political controversy, with Tamil Nadu Excise Minister S. Muthusamy condemning the raids as “politically motivated” and alleging harassment of officials. Opposition parties, including the BJP and AIADMK, have seized on the scam, with BJP’s K. Annamalai claiming it dwarfs other liquor scandals.
No official ED statement has detailed the allegations’ full scope, but sources indicate further questioning and forensic analysis of seized documents, including WhatsApp chats on liquor procurement, are imminent.
The probe’s expansion into assets acquired domestically and abroad underscores its depth, raising questions about systemic corruption in Tamil Nadu’s lucrative liquor trade.
Also Read: India Offering Zero Tariffs to US? Donald Trump Seems to Think So