Row in TN Assembly over Rs 5.54-cr tender for CM office move

Published : Aug 18, 2026, 04:01 PM IST
Tamil Nadu Assembly (File Photo/Tamil Nadu Assembly)

Synopsis

DMK MLA EV Velu and Public Works Minister Aadhav Arjuna clashed in the Tamil Nadu Assembly over a Rs 5.54-crore tender for the CM's office relocation. Velu alleged irregularities, while Arjuna dismissed them as based on inaccurate media reports.

A sharp exchange broke out in the Tamil Nadu Legislative Assembly on Tuesday between Dravida Munnetra Kazhagam (DMK) MLA EV Velu and Public Works Minister Aadhav Arjuna over alleged irregularities in a Rs 5.54-crore tender issued for relocating the Chief Minister's Office, with the Tamilaga Vettri Kazhagam (TVK) minister dismissing the allegations as based on inaccurate newspaper reports.

Allegations have surfaced that irregularities took place in the tender issued in connection with shifting the Chief Minister's Office. It is being alleged that the tender notification for the office relocation was published in newspapers on the 13, but was uploaded on the website only four days later, on the 17. It is also alleged that while the tender value was mentioned as Rs 5.54 crore in the newspaper advertisement, the amount was not specified on the website and was instead shown as "NA."

DMK leader raises issue in Assembly

Raising the issue in the Assembly, the DMK leader Velu began by recalling the legacy of the Chief Minister's Office, stating, "Very simple people have served as Chief Ministers of Tamil Nadu. Former Chief Ministers such as Kalaignar and Anna were all simple people. Anna, Kalaignar, MG Ramachandran, Jayalalithaa, O Panneerselvam, Edappadi K Palaniswami, MK Stalin and several others have served as Chief Ministers of Tamil Nadu and implemented various schemes and eradicated poverty. If Tamil Nadu is regarded as the number-one state in India, it is because all these Chief Ministers functioned from that very room."

He said MK Stalin was now shifting from his existing room to a room on the tenth floor of the Namakkal Kavignar Maaligai, the ten-storey building constructed by Kalaignar. "When there is a room from which so many schemes were implemented, I am personally happy that our brother, the Chief Minister, is moving to a room built by Kalaignar. The present room was built by the British, while the room to which the Chief Minister is moving was built by a Tamil," Velu said.

However, he pointed to the report on the tender process, claiming that the Rs 5.54-crore tender for shifting the Chief Minister's Office was not published online. "Shouldn't the Chief Minister simply continue working from the existing room? Because of the Chief Minister's relocation, people attached to the Secretariat association are saying that they have no place to eat or rest. They are asking, 'Where are we supposed to go if the Chief Minister takes over this space?' The Chief Minister should take this into consideration," Velu said.

Minister dismisses allegations

Responding, Public Works Minister Aadhav Arjuna dismissed the allegations as an attempt to plant doubt while appearing sympathetic. "He said that the tender was reported in a private newspaper. If we look at all the newspaper reports published over the past five years, there have been reports to such an extent that one could say that corruption alone has taken place in this department," said Arjuna.

"When the Speaker of the Legislative Assembly comes here, you have said that we should not blame anyone or anything today, but should speak about our schemes," he added.

Arjuna maintained that the tender process was not yet complete and that the reports were incorrect. "The reports published in the newspapers are incorrect. I will provide an explanation for them today itself. The tender process has not yet been completed," he said.

Justifies pricing strategy

"There is a reason why it has not yet been officially announced. There is also a reason why the Schedule of Rates has not yet been announced in connection with the Chief Minister's project. If we announce the Schedule of Rates today, we know that contractors generally increase their prices in accordance with the prevailing cost of civil works. Usually, they increase their bids by 3 per cent, 5 per cent or 7 per cent. However, we have given all departments the same Schedule of Rates that was in effect last year," he added.

He linked the decision to a White Paper on tenders issued during the previous DMK government's tenure. "Why have we done this? Because today we are going to present a White Paper in the Legislative Assembly. We know what happened with all the tenders issued in the Highways Department and the Public Works Department over the past five years. In the last 60 days alone, 20 projects have been re-tendered. The benefit of this is that we are now receiving tenders at values approximately 20 per cent to 36 per cent lower.

Explains need for relocation

The issue of shifting the Chief Minister's Office was discussed further. Kalaignar had wanted a new Secretariat to be constructed. Is there any disagreement about that? Amma (Jayalalithaa) also wanted a Secretariat to be constructed. There is agreement on that as well, but considering the circumstances and why they wanted a new Secretariat to be constructed, the Chief Minister meets people from various sections from 9:30 in the morning until 5 in the evening," he said.

"Many foreign delegations also come to meet the Chief Minister, but there are no proper facilities for them. That is why both Kalaignar and Amma wanted a new Secretariat to be constructed. The Chief Minister is shifting his office so that everyone can sit and work comfortably. The Chief Minister is doing this with the intention that all the officials should have a good and comfortable working environment. This is only a temporary arrangement to facilitate this. It is not being done for his personal comfort or for his own requirements," he added.

Debate on tender estimation continues

Velu pushed back, arguing that estimates for such projects were prepared collectively by IAS officers under the Finance Department Secretary, and reiterated that the minister's explanation on pricing was incorrect, given that contractors typically compete to secure government work regardless of profit margins. "This is carried out collectively by various departments, involving IAS officers and under the leadership of the Finance Department Secretary. It is on this basis that the estimate is prepared. Now the Public Works Minister is once again saying that prices are being increased. That is incorrect. When tenders are invited, contractors want to secure the work. They want to get the work somehow...Some may even think, 'We do not need to make a profit; it is enough if we can pay the salaries of the people working for us. That has nothing to do with the government or the minister. Once the Schedule of Rates is fixed, that is the end of the matter," he said.

Arjuna said no tender could be released without ministerial oversight, regardless of which officials were involved in preparing it. "Whatever plan the officials prepare, it cannot be released without coming to the attention of the ministers. Even if officials from all the departments are involved, it can be released only after it comes to the attention of the Public Works Minister. We are currently issuing the tender based on the same Schedule of Rates that was used the previous time. If we increase it by 7 per cent or 10 per cent now, when tenders subsequently come in at 36 per cent lower than the estimate, people will start comparing them with this Schedule of Rates. A detailed White Paper on this matter will be released," he said.

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)

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