Madras High Court Directs CBI Enquiry Into Corruption Allegations Against NLC Officials

The Madras High Court has directed the CBI to conduct an enquiry into alleged large-scale corruption in projects of Neyveli Lignite Corporation (NLC), a PSU under the Union Coal Ministry. However, the Court declined to order immediate registration of an FIR.

The petitioner alleged that senior NLC officials and contractors caused a ₹422 crore loss (2022–2025) through contract irregularities, cost escalations, CSR misuse, and a forged EXIM Bank letter.

The Court noted that, though several supporting documents were cited, copies were not placed before it. It held that an FIR cannot be registered without prima facie verification of the allegations.

The CBI was directed to summon the petitioner on February 23, obtain documents, and proceed in accordance with law.

[Manikandan v. Director, CBI]