Police investigation in Chennai has found that DMK functionary Arasakumar and others allegedly operated a separate office to collect money from private school administrators, according to investigators.

Police said former School Education Minister Mahesh, 48, of the DMK, was arrested and taken into custody for questioning on allegations of collecting more than Rs 100 crore for services such as obtaining government recognition for private schools. Before that, Arasakumar, 58, a former deputy secretary of the DMK media committee, was arrested and is currently out on bail. Former MLA Muthukumar, described as a key associate, surrendered in court and is lodged in Puzhal prison. Police said they plan to seek his custody for questioning.

Investigators said the accused conspired jointly to carry out the fraud. They allegedly exploited government announcements: the recognition extension for schools started before 2023 was changed from three years to five years, and schools that have obtained recognition properly three times and follow the rules can opt for a 20-year recognition certificate. It was also announced that recognition and renewal would be granted only after verifying building stability certificates, fire department certificates, drinking water and toilet facilities, and teacher qualifications.

Police said the group brought administrators of 177 schools with issues under their control, threatening them that Mahesh would sign wherever they told him to and that schools could not operate without paying them. They allegedly ran a separate office for collecting the money, which Mahesh was also aware of. The investigation found that more than 10 people, including private school administrators Chandrasekaran, Dinesh, Susindran and Deivasigamani, worked with Arasakumar in the collection effort.