Tamil Nadu intends to appeal the acquittal of former minister K. Ponmudy, his son Gowtham Sigamani and five others in a case concerning alleged illegal red-sand quarrying. Enforcement Directorate (ED) Special Public Prosecutor P. Sidharthan informed a Division Bench of the Madras High Court that the State government had written to the central agency about its decision to challenge the acquittal.
The case concerns allegations linked to Ponmudy’s tenure as Mines and Minerals Minister from 2007 to 2011. Prosecutors alleged that quarry licences were granted to his son, a friend of his son, Sigamani’s brother-in-law and others, and that extraction exceeded permitted quantities. The charge sheet alleged unpaid seigniorage fees and a ₹28.37-crore loss to the State. These were prosecution allegations, not findings of guilt.
The Villupuram Principal District and Sessions Court acquitted all seven defendants on April 2, 2026, after trial. It held that the prosecution had not established a link between the quarry leases and alleged illegal gain, nor proved conspiracy or abuse of official position. Ponmudy’s petition to the High Court also described the alleged revenue-loss calculations as speculative and unsupported by primary data.
The acquitted defendants have separately asked the High Court to quash ED proceedings under the Prevention of Money Laundering Act (PMLA), arguing that the case cannot continue after their acquittal in the underlying offence. The High Court has not decided that request. It directed the ED’s special prosecutor to file a detailed counter-affidavit within two weeks. The next step is the agency’s response and further consideration of the petitions; the State’s proposed appeal will proceed separately.