New Delhi, May 1: The Supreme Court on Wednesday issued an interim order staying the Madras High Court’s February 17 directive for a Central Bureau of Investigation (CBI) probe into the alleged ₹5,832 crore beach sand mining scam in Tamil Nadu. The apex court also ordered that all parties involved maintain the status quo in the ongoing matter.
The two-judge bench comprising Justice Dipankar Datta and Justice Manmohan passed the interim ruling while hearing multiple Special Leave Petitions (SLPs) filed by V V Mineral, one of the major parties accused in the case. The petitioners challenged the Madras High Court’s directive that had called for a CBI investigation and the transfer of seized mineral stocks to Indian Rare Earths Limited (IREL).
“We direct the parties to maintain the status quo. We also stayed in the Madras HC order for a CBI probe,” the bench stated.
Appearing for V V Mineral, senior advocates Siddharth Agarwal, Mukul Rohatgi, and Dhruv Mehta argued for a stay on the investigation, citing procedural irregularities and alleged bias. The court also dispensed with the service of notice to certain respondents, including IREL.
In anticipation of such appeals, the Tamil Nadu government had earlier filed a caveat petition through senior advocates Arvind P. Datar and N. R. Elango, requesting that the state’s arguments be heard before any interim relief was granted by the apex court.
The CBI had launched a major operation on April 5, 2025, conducting raids at 12 locations across Tamil Nadu. It alleged that several companies, including V V Mineral and X Thar firms, were involved in the illegal extraction and export of rare minerals such as monazite. The probe agency claimed a nexus involving private players, government officials, and political figures in facilitating large-scale illegal mining over several years.
With the Supreme Court’s interim stay now in place, both the CBI probe and the Madras HC’s directives remain on hold until further hearings.
