Gutkha Scam: Madras HC asks CBI to probe into multi-crore scam

The Madras High Court today ordered a CBI probe into the multi-crore gutkha scam, allegedly involving a Tamil Nadu minister besides a former and a serving top police official.

The case was being investigated till now by the Tamil Nadu police.

The court, however, said this did not cast any aspersion on the probe by the state police or the state vigilance authorities.

"The clandestine gutkha business is a crime against society, which needed to be curbed," the bench, comprising Chief Justice Indira Banerjee and Justice Abdul Quddhose said, while issuing its directions on a plea by DMK MLA J Anbazhagan.

"We, therefore, deem it appropriate to direct the CBI to investigate the illegal manufacture, import, supply, distribution and sale of gutkha and other forms of chewable tobacco... detect and take action against those involved in the offence... in connivance with public/government servants," the bench said.

The scam came to light on July 8, 2017, when Income-Tax sleuths raided the godown, offices and residences of a pan masala and gutka manufacturer in Tamil Nadu, who had been facing charges of tax evasion to the tune of Rs 250 crore.

The manufacture, storage and sale of the chewable forms of tobacco, including gutka and pan masala were banned by the Tamil Nadu government in 2013.

During the raids, the department had seized a diary containing names of those, who had been allegedly paid by the gutka manufacturers.

DMK had sought appointment of a special investigation team (SIT) headed by a retired judge of the high court and comprising CBI officials, to inquire into the matter.

The counter-affidavits of the chairman, Board of Central Excise and Customs and the director general of Vigilance, Customs and Central Excise Intelligence and the additional director general of Central Excise intelligence have also been sought in the matter.

This is to exercise the case of any complicity of Central Excise officers in the illegal manufacturing, distribution and sale of gutkha and other forms of chewable tobacco from the vigilance angle.

The bench further said, "In our considered view the handing over of investigation to CBI only ensures co-ordinating investigation publicly in specified categories of serious offences having ramification in more than one state." The court said it neither casts aspersion on the mode and manner of investigation conducted by the state police or the state Vigilance authorities.

It also does not necessarily reflect any finding even prima facie of interference of any Constitutional authority or any high official of the state government in such investigation, the court observed.

The bench said, "Serious allegations inter alia against a high police officer with regard to the complicity and connivance in the illegal business are likely to give rise to doubts in the minds of general public with regard to the fairness, impartiality and the efficacy of the investigation.

"It is therefore desirable that the investigation be handed over to an independent agency like the CBI," it said.

Reacting to the court order, DMK called for 'removal' of those accused in the scam.

Meanwhile, Health Minister C Vijayabaskar, who was reportedly under the scanner in the case, said the accusations and charges are generally levelled "against those in public life,"and added that it was the "job" of the opposition to level allegations.

"Madiyil ganamillai, vazhiyil bayamaillai," (Nothing to hide, nothing to fear), he said quoting a Tamil adage, while speaking to reporters.