The Enforcement Directorate (ED) has accused V Senthil Balaji, former Transport Minister of Tamil Nadu, of masterminding a “cash-for-jobs scam” in a chargesheet filed earlier this month. The federal agency submitted the prosecution complaint under the Prevention of Money Laundering Act (PMLA) on August 12, which was acknowledged by a special court in Chennai four days later.
Balaji, 47, a DMK leader, was arrested by the ED on June 14 for his alleged involvement in the scam, which took place during his tenure as a minister in the AIADMK regime from 2011 to 2016. Despite his ongoing detention in Puzhal jail, he retains his ministerial position in the current Chief Minister M K Stalin-led government. His judicial custody has been extended until September 15.
According to the chargesheet, the entire recruitment process in the Transport Department was transformed into a “corrupt chiefdom” under Balaji’s leadership. The ED alleges that Balaji exploited his role for personal gains and manipulated recruitment procedures in collusion with personal assistants and department officials. It contends that he “directly acquired illicit proceeds” from these activities.
Forensic investigations have corroborated Balaji’s involvement, refuting his and his personal assistants’, B Shanmugan and M Karthikeyan, denials. Documentation seized in the investigation revealed that candidates who directly approached Balaji or his associates received jobs through “illegal gratification.”
The chargesheet indicates that the scheme involved funnelling money through Balaji’s brother and associates. Digital evidence also supported these allegations, revealing that posts were priced and sold at rates ranging from Rs 1.75 lakh to Rs 12 lakh. Bank statements of Balaji and his wife showed significant cash deposits during and after the period the job scam occurred.
The ED claims that some of the “proceeds of crime” were laundered by depositing them into the accounts of Balaji’s family members and associates, projecting it as legitimate money. This, the agency alleges, amounts to a money laundering offence.
The ED initiated its case in July 2021 based on three FIRs filed by Tamil Nadu Police in 2018 and additional complaints from job applicants who did not receive the positions they were promised.
