‘ED crossing all limits, how can you…’: SC raps probe agency over TASMAC liquor case; DMK calls it ‘big blow’ to BJP’s narrative

The Supreme Court on Thursday stayed the Enforcement Directorate’s (ED) money laundering probe against Tamil Nadu’s state-run liquor retailer TASMAC over alleged irregularities in the grant of wine shop licences, drawing strong reactions from the ruling DMK in the state.

Senior DMK leader and Rajya Sabha MP R S Bharathi welcomed the apex court’s order, calling it a “big blow” to the BJP’s alleged attempts to malign the party-led state government. He also dubbed the ED a “blackmailing organisation.”

Speaking to reporters shortly after the Supreme Court’s interim order, Bharathi said, “The SC staying the ED probe against TASMAC is a big blow to such things and is in deference to the sentiments of the people of Tamil Nadu… we welcome the (SC) order,” PTI reported.

ED misused by Centre alleges DMK

He further alleged that the ED has been misused by the Centre since Prime Minister Narendra Modi assumed office in 2014. “In Tamil Nadu, the M K Stalin-led DMK government that assumed office in 2021 has been gaining popularity ever since and the Chief Minister’s stature has been rising. Unable to digest this and the DMK alliance’s electoral triumph after 2021, the ED was used to malign the DMK and the BJP leaders used to make all kinds of charges,” he said.

“The union government should stop misusing ED at least after this,” he added.

Bharathi also questioned the timing of the recent ED raids on TASMAC premises, claiming they were carried out “7-8 months” ahead of the Tamil Nadu Assembly elections.

Accusing the federal agency of acting beyond its remit, he said, “ED has become a blackmailing organisation,” pointing to instances where ED officials were arrested in Tamil Nadu and Kerala for alleged bribery.

Meanwhile, the Supreme Court made strong remarks against the agency during the hearing. A bench comprising Chief Justice D Y Chandrachud and Justice Augustine George Masih issued notices to the ED on petitions filed by the Tamil Nadu government and TASMAC challenging the ED’s ongoing probe under the Prevention of Money Laundering Act (PMLA).

‘Your ED is crossing all the limits’: SC

“Your ED is crossing all the limits,” the court told Additional Solicitor General S V Raju, who was appearing for the probe agency. “The Enforcement Directorate is violating the federal concept (of governance),” the bench observed, while ordering that the investigation into TASMAC be halted for the time being.

Raju opposed the order, saying, “At least in this case,” the ED was not overstepping its bounds, as the matter involved “corruption over Rs 1,000 crore.”

Senior advocates Kapil Sibal and Amit Anand Tiwari, representing the Tamil Nadu government and TASMAC, argued that over 40 FIRs had already been registered by the state police in connection with the issue since 2014, and the ED’s late entry into the matter was unjustified.

“How can you raid the state-run TASMAC?” the bench asked.

The state had moved the top court against the Madras High Court’s April 23 order which allowed the ED to continue its probe.