Tamil Nadu Forest Minister Faces ED Grilling in Money Laundering Case

Tamil Nadu forest minister K Ponmudy was questioned by the Enforcement Directorate in a money laundering investigation. Assets worth over Rs 14 crore were previously attached in connection with alleged illegal mining. The case, involving Ponmudy's family, stems from a state police FIR.

Tamil Nadu's forest minister, K Ponmudy, appeared before the Enforcement Directorate on Tuesday for questioning in connection with a money laundering investigation, according to official sources.

The statement from the minister was recorded under the Prevention of Money Laundering Act (PMLA) provisions, according to the sources.

In July, the central agency attached assets worth more than Rs 14 crore in regard to an illegal mining-linked money laundering case involving the 74-year-old minister, a prominent DMK figure, his former MP son P Gautham Sigamani, and several family members.

This specific money laundering case has its roots in alleged illegal red earth mining activities linked to an FIR filed by the state police's crime branch.

The ED conducted raids on the minister's premises in July last year, which Tamil Nadu's chief minister, M K Stalin, termed as a political vendetta by the Union BJP government. During his tenure as the minister of mines from 2007 to 2010, Ponmudy allegedly allotted five licenses in the names of Dr. P Gautham Sigamani, Sigamani's brother-in-law K S Rajamahendran, and another individual, Jayachandran, who reportedly acted on Sigamani's behalf in the quarrying of red earth on privately owned lands.

It was alleged that red earth was extracted illegally beyond the permitted limits, amounting to Rs 25.7 crore, with the proceeds invested overseas.

Minister Ponmudy currently represents the Tirukkoyilur Assembly seat in Villupuram district, whereas his 50-year-old son Sigamani previously served as an MP for the Kallakurichi seat.

(With inputs from agencies.)