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Madras High Court Directs Three-Month Trial Completion for 2016 Gutkha Scam

The Madras High Court has mandated the completion of the trial in the 2016 gutkha scam case within a strict three-month timeframe. The order came as the court dismissed a petition filed by former Director General of Police (DGP) S. George, seeking to be discharged from the case.

Background of the Gutkha Scam

The multi-crore gutkha scam, which surfaced in July 2016, involves allegations of massive bribes being paid to ministers, police officials, and government employees to facilitate the sale of banned gutkha and other chewable tobacco products in Tamil Nadu. The scam came to light when the Income Tax Department conducted raids on the premises of a gutkha manufacturer, uncovering documents that allegedly detailed payments to influential individuals. These documents, including a diary, purportedly revealed a nexus between the manufacturers and corrupt officials, leading to the cancellation of the RK Nagar by-elections at the time.

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Information was available with The Chenab Times that the state government had banned the manufacture, storage, and sale of gutkha in 2013. Despite this ban, the illegal trade reportedly continued, with allegations of significant revenue evasion by manufacturers and substantial payoffs to officials to ensure smooth operations. The case gained significant traction when documents accessed by The Hindu and Times Now indicated an alleged payment of Rs 40 crore to a minister and other officials.

Judicial Intervention and Investigation

The Madras High Court has been instrumental in pushing for a thorough investigation into the scam. In April 2018, the court ordered a Central Bureau of Investigation (CBI) probe into the matter, observing that serious allegations against high-ranking police officials could undermine public trust in the fairness of the investigation. The court’s directive came on public interest litigation petitions, including one filed by DMK MLA J. Anbazhagan, who alleged the involvement of state ministers and senior government and police officials.

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The Supreme Court later upheld the Madras High Court’s verdict, dismissing pleas that challenged the CBI’s involvement. The CBI subsequently registered cases against several individuals, including former Tamil Nadu ministers and police officials, in connection with the alleged illegal sale of banned gutkha products.

Current Judicial Directives

More recently, in June 2026, a single judge bench of the Madras High Court dismissed a discharge plea by a former Commercial Taxes Department Joint Commissioner, VS Kurinji Selvan. The court found sufficient prima facie material to frame charges against him, emphasizing that its observations were limited to deciding the revision petition and would not prejudice the trial. The court directed the trial court to proceed independently, without being influenced by its observations.

The latest order from the Madras High Court reiterates the urgency of the matter, mandating the completion of the trial within three months. This directive underscores the judiciary’s determination to bring the long-standing gutkha scam case to a swift conclusion.

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