Supreme CourtTamil NaduCBI ProbeTransformer ScamV. Senthil Balaji
Supreme Court Refuses to Interfere with CBI Probe Order in Tamil Nadu Transformer Scam
Published: May 11, 2026
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The Supreme Court on Monday refused to interfere with the Madras High Court's order directing a CBI probe into an alleged ₹397-crore scam in the procurement of transformers in Tamil Nadu during the tenure of former Minister V. Senthil Balaji as the State's Electricity Minister between 2021 and 2023. A bench of justices Vikram Nath and Sandeep Mehta declined to entertain the plea challenging the Madras High Court's direction for a CBI probe into the alleged irregularities.
The Madras High Court had ordered a CBI inquiry into the alleged irregularities surrounding the procurement of 45,000 distribution transformers by the Tamil Nadu Government on April 29. The High Court's order came on allegations that the State exchequer suffered a loss of ₹397 crore between 2021 and 2023.
Senior advocate Siddharth Dave, appearing for an official of the Tamil Nadu Generation and Distribution Corporation (TANGEDCO), argued that there was no specific prayer before the High Court seeking a CBI investigation and contended that the proceedings were politically motivated. However, Justice Nath said the court was empowered to direct such a probe if the circumstances warranted.
The investigation in the matter will proceed independently without being influenced by any observations made by the High Court. The CBI has been directed to conduct a fresh investigation into the matter, and the Directorate of Vigilance and Anti-Corruption (DVAC) has been ordered to hand over all documents related to the case to the central agency within two weeks. The Tamil Nadu Government, TANGEDCO, and the DVAC have been directed to extend their full cooperation to the CBI during the investigation. The next step in the case will be the CBI's investigation, which is expected to be conducted expeditiously.