Tamil Nadu: BJP accuses DMK govt of ₹1,000-cr ‘liquor scam’ – ‘MK Stalin distracting public’

The Bharatiya Janata Party (BJP) has accused Chief Minister MK Stalin-led Dravida Munnetra Kazhagam (DMK) government in Tamil Nadu of spreading ‘baseless’ rumours about the three-language policy and delimitation to divert attention from the Enforcement Directorate (ED) raids on Tamil Nadu State Marketing Corporation Limited (TASMAC) and liquor-supplying companies.

The allegations surfaced on a day when the DMK government presented the Tamil Nadu Budget 2025-26 in the state Assembly with Finance Minister Thangam Thenarasu announcing allocations for welfare schemes like the fare-free bus travel for women. The budget session was disrupted by opposition parties, with the All India Anna Dravida Munnetra Kazhagam (AIADMK) and the BJP staging a walkout over the alleged scam.

“Tamil Nadu Chief Minister MK Stalin is spreading baseless rumours about the three-language policy, NEP, delimitation, and the removal of the ₹ symbol from the budget document to distract the public from the ongoing Enforcement Directorate (ED) raids on TASMAC, the Liquor Minister, and liquor-supplying companies in Tamil Nadu,” Amit Malviya, in-charge of BJP’s National Information and Technology Department, said in a post on X,

The Stalin government sparked a political row on Thursday when it replaced the Devanagari rupee symbol ‘ ₹’ with a Tamil letter in its logo for the budget 2025-26. Union Finance Minister Nirmala Sitharaman condemned the act and asked the DMK why it did not protest in 2010 when the Congress officially adopted the symbol.

The move comes amid a highly charged political atmosphere in the state over two contentious issues: the three-language row and delimitation.

“The ED has uncovered documents from distilleries revealing the generation of unaccounted cash amounting to ₹1,000 crores, paid as kickbacks. The DMK has been exploiting common people to fill its party coffers by manipulating the system, and MK Stalin owes the public an explanation regarding who received these kickbacks. Given these developments and the massive corruption under his watch, it is becoming increasingly untenable for him to continue as Tamil Nadu’s Chief Minister,” Malaviya said in the post.

On Friday, Tamil Nadu Leader of Opposition (LoP) E Palaniswami demanded that the DMK government take moral responsibility for the alleged corruption and resign. The AIADMK and the BJP have intensified their demand for an explanation from the state government regarding the ED’s findings.

BJP MLA Vanathi Srinivasan said she has written to the Tamil Nadu Assembly speaker to urge the state government to respond to the alleged scam.

“ED’s investigation into TASMAC has uncovered unaccounted cash transactions worth ₹1,000 crore, exposing manipulated tenders and massive financial irregularities. Have written to the Hon’ble Speaker of the Tamil Nadu Assembly, urging the state government to respond under Rule 55,” she posted on X.

Excise Minister Senthil Balaji responds

Tamil Nadu Excise Minister Senthil Balaji, however, denied allegations saying there is no basis for the claim and no room for malpractices in the TASMAC tender.

“In the name of searches, the ED has conducted searches but has not mentioned in their press release the year the FIR was registered. They have created a scene as if mistakes have happened in TASMAC recruitment. For the past four years, the bar tender has been online only. Without any basis, they have accused us of ₹1,000 crore of corruption. There is no room for malpractices in the TASMAC tender,” Balaji said.

On March 6, the Enforcement Directorate, Chennai, conducted search operations at several premises across many districts of Tamil Nadu under the provisions of PMLA, 2002, for various offences related to TASMAC and its associated entities/persons.

Another liquor scam?

Remember, in the national capital, senior Aam Aadmi Party (AAP) leaders, including former Chief Minister of Delhi Arvind Kejriwal, were jailed for their alleged involvement in what is known as the Delhi Liquor Scam. This scam emerged following the introduction of Delhi’s Excise Policy from 2021 to 2022. Eventually, in the 2025 elections, the AAP lost to the BJP.

A Comptroller and Auditor General (CAG) report titled ‘Performance Audit on Regulation and Supply of Liquor in Delhi’ tabled in the Delhi assembly last month highlighted the lapses in implementing the now-scrapped Delhi excise policy, which eventually led to a loss of approximately ₹2,002 crore to the Delhi government.

Assembly Elections in Tamil Nadu are scheduled next year.