Supreme Court of India Orders CBI Probe into Contract Row in Arunachal Pradesh

The Supreme Court of India has ordered the Central Bureau of Investigation (CBI) to conduct a preliminary inquiry into allegations concerning the irregular allotment of public contracts by the Arunachal Pradesh government to firms associated with Chief Minister Pema Khandu’s relatives. A bench of Justices Vikram Nath, Sandeep Mehta, and N V Anjaria instructed the CBI to investigate contracts awarded from January 1, 2015, to December 31, 2025, with a report due in 16 weeks to determine if a full investigation is warranted. The Arunachal Pradesh government has been directed to cooperate fully and provide relevant documents within four weeks, while a nodal officer is to be appointed by the Chief Secretary to facilitate the CBI’s work.

This inquiry arose from a petition by the Save Mon Region Federation and Voluntary Arunachal Senaa, represented by senior advocate Prashant Bhushan, claiming that contracts totaling around ₹1,270 crore were awarded to companies linked to the Chief Minister’s family, including those owned by his spouse and nephew Tsering Tashi, amid allegations of procedural violations in the tendering process. The petition, filed in 2024, also called for an independent investigation by the CBI or the formation of a Special Investigation Team (SIT), citing favoritism in public works contracts.

During previous hearings, the Supreme Court sought responses from the Ministry of Home Affairs, the Ministry of Finance, and the state government regarding the tendering process. It referenced a report by the Comptroller and Auditor General of India discussing guidelines that prohibit ministers from granting undue benefits to relatives. The latest ruling is a crucial move in determining if the allegations merit a more thorough criminal investigation.