NEW DELHI — In a major legal reprieve for former Tamil Nadu Electricity and Excise Minister V. Senthilbalaji, the Supreme Court on Friday ordered an interim stay on his arrest in connection with a multi-crore corruption case registered by the Directorate of Vigilance and Anti-Corruption (DVAC).
A Bench comprising Chief Justice of India Surya Kant and Justice Joymalya Bagchi issued notice to the State of Tamil Nadu while granting interim protection to the incumbent DMK MLA, reversing a decision by the Madras High Court that had rejected his anticipatory bail application.
No Apprehension of Interference
Rejecting arguments by the State’s legal team that the former minister could use his stature to tamper with evidence or influence witnesses, the apex court observed that the altered political landscape in Tamil Nadu eliminated grounds for such concerns.
The Bench noted that with Mr. Senthilbalaji no longer holding a cabinet portfolio, the State need not fear that he would manipulate the trajectory of the ongoing investigation.
“The State is no longer under the so-called malefic influence of the petitioner,” observed Justice Bagchi, adding that there was no likelihood of the former minister absconding while protected by interim bail.
Conditions and Legal Arguments
The Supreme Court directed Mr. Senthilbalaji to deposit his passport with investigating authorities and maintain full cooperation with the agency throughout the proceedings.
Representing Senthilbalaji, Senior Advocates Kapil Sibal, Mukul Rohatgi, and Amit Anand Tiwari contended that the case largely relies on documentary evidence already in the custody of state agencies, rendering custodial interrogation unnecessary. Sibal further highlighted that the FIR was filed based on allegations spanning 2021–2025, following political shifts and evolving affidavits.
Opposing the plea, counsel for the State pointed to the gravity of the charges, alleging irregularities in liquor procurement, tender cartelisation, and licensing within the Tamil Nadu State Marketing Corporation (TASMAC) that purportedly caused losses exceeding ₹100 crore to the exchequer.
Background of the Probe
The DVAC filed an FIR on July 28 following widespread searches across more than 40 locations in Tamil Nadu. The investigation focuses on alleged administrative manipulations, proxy ownerships, and bribery surrounding TASMAC bar licenses and liquor distribution during Senthilbalaji’s tenure as Excise Minister.
While granting interim relief, the Supreme Court noted that the State remains free to conduct an independent, thorough investigation and may move for modification of the order if concrete grounds demanding custodial interrogation are demonstrated.
