Chennai-based anti-corruption NGO Arappor Iyakkam on Thursday, July 10, staged a protest outside the Tamil Nadu Civil Supplies Corporation (TNCSC) office, alleging a multi-crore scam in the allotment of paddy transportation tenders across the state. The group accused the state government of favouring a single private contractor, Christy Friedgram Company, through benami firms, inflating transportation costs, and ignoring complaints of irregularities. They allege that this has resulted in an estimated loss of 124 crore to the public exchequer.
Holding placards reading “Christy Supplies Corporation”, the protestors demanded that the state agency be renamed to reflect what they called its capture by private interests.
In March 2025, Arappor Iyakkam alleged that Christy Friedgram Company had been awarded tenders across all 39 districts of Tamil Nadu using three benami firms — Kandasamy & Co, Karthikeya Enterprises, and Muruga Enterprises. These firms allegedly belong to Kumarasamy, owner of Christy Friedgram Group. The NGO has alleged that the tender process was manipulated to ensure only these companies were eligible to bid.
Jayaram Venkatesan, Arappor’s coordinator, said Food Minister R Sakkarapani had failed to act on the alleged scam and instead defended the company’s allotment. “There are lorry owners willing to transport paddy for Rs 300 per metric tonne,” he said. “Why then has an inexperienced company like Christy Friedgram been given control over all districts?”
The NGO said the government had approved a rate of Rs 598 per metric tonne for the first 8 km of transportation, which is more than double the scheduled amount of Rs 288. “The tender was awarded at a price 107% higher than the listed price, causing a loss of Rs 310 per metric tonne,” the group said in a press release. “Considering the Tamil Nadu government's estimated annual procurement of 4 million tonnes of paddy, this amounts to a loss of Rs 124 crore per trip.”
Arappor also pointed to inconsistencies in the contract duration. While the tender notice published in newspapers mentioned a two-year term from July 2023 to July 2025, the actual work order extended it to July 2026. “We sent a complaint again in June 2025, demanding that the tender be completed by June 2025 as stated in the tender notice,” the group said. “But so far, neither the Chief Minister, nor Food Minister Sakkarapani, Food Secretary Satyabrata Sahoo, the managing director, or any employee of the department has taken action. Instead, they continue to protect the Christy Company scam.”
Jayaram accused government officials of betraying public trust. “They draw their salaries from taxpayers, yet work for Christy. If that’s the case, Stalin, Sakkarapani, Satyabrata Sahoo, and others should get their salaries directly from Christy Friedgram — not by us,” he said.
He added that Arappor was symbolically renaming the department as part of the protest. “Ministers, including the Chief Minister, who work to increase Kumaraswamy’s wealth should officially change the name of the department to ‘Christy supplies Corporation.’ We plan to hand this renamed board over to the MD.”
Protesters were detained by K10 police while attempting to approach the TNCSC office. A member of the group distributing press notes to journalists was also taken into custody.