Supreme Court Resumes Monitoring of CBI Probe into Arunachal Contract Allegations
The Supreme Court has directed the CBI to file a fresh status report within two weeks after examining documents supplied by the Arunachal Pradesh government in a case alleging irregularities in contracts awarded to firms linked to close relatives of Chief Minister Pema Khandu.
NEW DELHI- The Supreme Court has resumed monitoring the Central Bureau of Investigation’s (CBI) probe into allegations of irregularities and corruption in the award of public contracts in Arunachal Pradesh to firms allegedly connected with close relatives of Chief Minister Pema Khandu.
The key development in Monday’s hearing was the Court’s direction to the CBI to submit a fresh status report within two weeks, after taking note of the response filed by the Arunachal Pradesh government regarding the documents supplied to the investigating agency. The matter has been listed for further consideration after four weeks.
A Bench of Justice Vikram Nath and Justice Sandeep Mehta considered the State government’s compliance with its earlier directions. The government, represented by Solicitor General Tushar Mehta and Arunachal Pradesh Advocate General Indranil Choudhury, maintained that it had complied with the Court’s directions and fully cooperated with the CBI by providing the information sought.
Also Read- 29-Year-Old Man Swept Away in Nyamjangchu River in Tawang
However, the volume and scope of documents supplied became an important point during the hearing. According to the material placed before the Court, the State provided records relating to all contracts, rather than limiting the documents to contracts allegedly awarded to firms connected with the Chief Minister’s family. The Court observed that supplying such a large volume of material could make the examination more difficult and potentially delay the investigation.
Petitioners’ counsel Prashant Bhushan sought to have the scrutiny focused specifically on firms allegedly linked to the Chief Minister’s family. The Court, however, remarked that the petitioners had contributed to the problem and that the State had supplied more documents than were required.
The issue of the documents was also highlighted in the proceedings as the State informed the Court that a substantial volume of records had been handed over to the CBI. The Court directed the State to file an affidavit and asked the CBI to confirm whether it had received the complete material. Bhushan questioned whether material already examined during the CBI’s preliminary enquiry was sufficient to proceed with registration of a regular case. The Court declined to make a determination at that stage, leaving the issue to the CBI after examination of the documents.
Also Read- Basar Special Court Sentences Convict to 20 Years in POCSO Case
The proceedings stem from a public interest litigation alleging large-scale irregularities in the award of public works contracts to firms owned by or allegedly linked to members of Khandu’s family and close associates. The petition specifically referred to firms including M/s Brand Eagles, reportedly owned by Khandu’s spouse, and M/s Alliance Trading Co., allegedly linked to his nephew Tsering Tashi, an MLA from Tawang.
The petitioners have alleged that the firms received multiple contracts in violation of tendering norms and statutory provisions, including provisions of the Prevention of Corruption Act. They have also alleged that similar practices existed during the tenure of Khandu’s father, late Dorjee Khandu. According to the petition, development projects worth approximately Rs 1,245 crore were allotted through tenders, with another Rs 25 crore issued through work orders.
Earlier proceedings had already placed the alleged scale of the contracts under scrutiny. A State affidavit cited by the petitioners was said to indicate that contracts worth around Rs 1,270 crore had been awarded over the previous decade to four firms allegedly linked to Khandu’s family. The petitioners argued that these contracts represented nearly 3% of the total value of contracts awarded in Arunachal Pradesh between 2015 and 2025 and raised concerns about conflict of interest and corruption. The State has opposed the allegations and described the litigation as “sponsored litigation”.
Also Read- Financial Irregularity Allegations Surface at Oil Palm Farmers’ Meeting in Roing
The Supreme Court had earlier directed the CBI to conduct a preliminary enquiry into the allegations. The Court had also sought responses from the Union Ministries of Home Affairs and Finance regarding the process and legality of the contract allocations.
Monday’s proceedings did not determine whether the allegations are established or whether a regular criminal case should be registered. Instead, the Court’s immediate focus remained on compliance with its earlier directions and ensuring that the CBI receives and examines the relevant material.
With the CBI now directed to submit a fresh status report within two weeks, the next stage of the proceedings is expected to provide greater clarity on the progress of the preliminary investigation and whether the agency considers further action warranted.
