In a latest development, the Supreme Court on Thursday stayed all ongoing investigations by the ED into alleged irregularities at Tamil Nadu's state-run liquor distribution arm, the Tamil Nadu State Marketing Corporation (TASMAC).
A bench comprising Chief Justice BR Gavai and Justice AG Masih reprimanded the ED, stating that the agency had been "crossing all limits" in recent investigations.
What did the court say?
The court issued a notice to the ED regarding a Special Leave Petition (SLP) filed by TASMAC, challenging the Madras High Court's April 23 order that dismissed three writ petitions filed by the state and TASMAC. These petitions sought to declare a search and seizure as illegal.
"ED is crossing all limits, You are violating the federal structure of the country," the CJI said.
The Supreme Court bench orally questioned the legality of the ED's action, particularly its decision to register a case against a corporation.
CJI Gavai asked, "How can you register a case against a corporation? You may register against individuals, but how against a corporation?"
The court said the ED has already filed an FIR against several high-ranking officials of TASMAC but has not said anything about the main offence in the case. "Where is the main offence?" the bench asked.
Read More | Tamil Nadu: State BJP Chief Annamalai And Tamilisai Detained Over Protest On TASMAC Liquor Scam
DMK Welcomes the Ruling
Senior DMK leader R S Bharathi on Thursday said the Supreme Court's stay on the ED probe against state-run body TASMAC in Tamil Nadu is a major blow to the BJP's efforts to defame the party-led government in the state and called the central probe agency a blackmailing organisation.
Responding to the apex court staying the money laundering probe against liquor retailer Tamil Nadu State Marketing Corporation (TASMAC) over alleged corruption in grant of wine shop licences, he said the party welcomes the order.
"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 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," he said.
"The union government should stop misusing ED at least after this," the former MP added.
