Granite scam is the scam in the state of Tamil nadu, India. This scam came to expose after former district collector of Madurai Mr.U. Sagayam wrote letter to the Principal Secretary of the State Industries Department on May 19, 2012. In that, he had alleged major violations by many granite quarries in the Madurai district and had estimated a loss of more than sixteen thousand crore rupees to the state exchequer.
Contents
The Illegal quarrying of granite in Madurai is a case that initiated during 2012 after the collector Sagayam sent his report to the Chief Minister's office reporting illegal quarrying in Madurai district. The initial estimated report indicated illegal quarrying up to 16,000 cr. Some officials of the state-owned Tamil Nadu Minerals Limited (TAMIN) are accused of allegedly colluding with granite companies and allowing them to commit violations. Several persons, including Dayanidhi Azhagiri, son of Union Minister M. K. Alagiri, have been booked for alleged illegal sand and granite mining by companies owned by them.
Letter exposed scam
The letter was sent by Sagayam on May 19, 2012 which leaked on August 1, 2012 citing that illegal activities of three major granite operators in Melur taluk in Madurai district. The three granite companies mentioned in the letter are PRP Exports, Olympus Granites and Sindhu Granites. The letter exposed how farmers and other rural people had been deprived of their livelihoods and how it became possible for the granite companies to continue their loot in connivance with the officials of the Departments of Revenue and Geology & Mining for several years.
Investigation
Eighteen teams of officers formed by the Madurai Collector, Anshul Mishra, started inspection from August 2 in 175 quarries in the district. After the investigation is on, P. R. Palanisamy of PRP Exports and Panneer Mohamed owner of Madura Granites in Melur, surrendered to the police. The state government has suspended nine people including a tahsildar and deputy tahsildar in Madurai. A senior clerk of Tamil Nadu Minerals Limited (TAMIN) was arrested. A representation made by the Madurai Collector Anshul Mishra to the Chief Secretary Debendranath Sarangi seeking a probe by the DVAC into the role of public servants in the scam.
After this expose, Tamil Nadu government in accordance with the Income Tax Department carried out raids in the other quarries across the state.
Valuation
The initial report sent by the then Madurai collector Sagayam placed the losses to the State government to the level of 16,000 Cr. Some of the RTI (Right To Information) activists claim that the losses can to be the tune of 1 lakh crore.
Accused
PR Palanisami, owner of PRP Exports and a billionaire with political connections, has been arrested and his company sealed. Olympus Granites, allegedly owned by Durai Dayanidhi, son of former Union minister of Chemicals, M K Azhagiri, is also accused of illegal quarrying. The report submitted by U Sagayam stated that 84 private quarries have violated license conditions and indulged in illegal mining.
Developments
The owner of PRP Exports - P R Palanichamy (aged 60), his two sons P Senthil Kumar (aged 37) and P Suresh Kumar (aged 31) and son-in-law A Maharajan (aged 25) filed anticipatory bail application in the Madurai bench of the Madras high court apprehending arrest in a case registered by the Keelavalavu police station. Dayanidhi Azhagiri also filed an anticipatory bail petition in the high court bench.
After anticipatory bail granted, Dayanidhi Azhagiri was surrender before Melur court on 14 December 2012.
Chronology of events
2012
2014
2015