Supreme Court To Hear Plea For SIT Probe Against Arunachal CM Over Public Contracts' Allotment In Feb 2025

The Supreme Court is scheduled to hear in February 2025 a PIL seeking directions for SIT probe into the alleged irregular allotment of public contracts to the companies owned by relatives of the incumbent chief minister of Arunachal Pradesh, Mr Pema Khandu.

The bench comprising CJI Sanjiv Khanna and Justice Sanjay Kumar was hearing the matter today and directed to list the matter in the week commencing February 2, 2025.  The bench was informed that the replies have come from the State of Arunachal Pradesh. Attorney General for India R Venkataramani appearing for the State remarked, "from the understanding of the replies, it shows that the PIL deserves to be dismissed." 

Advocate Prashant Bhushan however urged for an earlier hearing, stressing that "the state is being run like a private ltd company". The CJI however explained that in January, the court would get busier with post- vacation backlog of matters. 

Bhushan then requested the production of the CAG report which was ordered by another bench hearing a similar matter regarding the father of the incumbent Chief Minister. 

The CJI said that the matter will be considered in detail during the next hearing, and that it wouldn't be appropriate to pass any interim directions at this stage. 

"We will see when it is argued, let's not pass any interim order, I have to go through their (State's) affidavits" . 

Bhushan was referring to SLP relating to the father of the present Chief Minister, Mr Dorjee Khandu which was pending before the bench of Justices Anirudha Bose and Bela Trivedi. Mr Dorjee Khandu was also accused of giving important public works contracts to his family companies.

Earlier, the bench comprising CJI DY Chandrachud and Justices JB Pardiwala and Manoj Misra agreed to issue notice in the plea in January. 

As per the petition, there was alleged partiality in giving away key tenders to the close associates of Mr Pema Khandu including the construction company 'M/s brand Eagles' belonging to Khandu's spouse. Additionally, Pema's nephew Mr. Tsering Tashi, an MLA from Tawang District owning M/s Alliance Trading Co. has been awarded work contracts without following due procedure.

The petition prays for an investigation into the matter either by the Central Bureau of Investigation (CBI) or a Special Investigation Team (SIT).

Taking note of the same the bench issued notice in the writ petition with liberty to serve the standing counsel of State of Arunachal Pradesh.

Background

A similar matter filed by an NGO named “Voluntary Arunachal Sena” and was represented by Advocate Prashant Bhushan, wherein it was alleged that contracts were given by the state government of Arunachal Pradesh without floating any tender.

The petitioner organisation filed the petition in the Supreme Court in 2010 challenging a decision of the Gauhati High Court to dismiss a PIL filed in 2007. Pertinently, Dorjee Khandu, the Chief Minister during 2007-2011 term is a respondent in the petition in personal capacity. The petitioner had also added the incumbent Chief Minister Pema Khandu (son of Dorjee Khandu) as an additional respondent in his personal capacity later.

The Court, expressing its intention to seek assistance from the Comptroller Auditor General (CAG) in the matter without impleading him as a party, had directed to submit a report on the following points :

1. “Whether very close relative(s) to the Executive Head of the State can be awarded Government contracts;

2. In the event this question is answered in the affirmative, what would be the norms for awarding contract to such persons.

Subsequently, on perusal of the CAG report as submitted, the Court has relisted the matter for February 14, 2024.

Case Details : Save Mon Region Federation And Anr v The State Of Arunachal Pradesh And Ors. W.P.(C) No. 54/2024 PIL-W