In a significant anti-corruption crackdown, the Punjab Vigilance Bureau has arrested three individuals, including a former top official of the Punjab State Power Corporation Limited (PSPCL), in connection with alleged irregularities surrounding the construction of a 66 KV power substation linked to a private housing colony in Ludhiana.
Those arrested include former PSPCL Chairman-cum-Managing Director KD Chaudhary, former senior executive officer Sanjeev Prabhakar, and Amit Garg, director of a private real estate company based in Ludhiana. The arrests were made by the Economic Offences Wing of the Vigilance Bureau following an investigation into alleged procedural violations, misuse of authority and financial irregularities tied to the Basant Avenue housing project.
According to officials, the case emerged from findings linked to Vigilance Investigation No. 05 dated May 10, 2021, after investigators examined the manner in which a 66 KV electricity substation was established to cater to the Basant Avenue colony. Authorities allege that the project received approvals despite major technical and procedural shortcomings, causing undue benefit to the private developer while allegedly bypassing established government norms.
A spokesperson for the Vigilance Bureau said that the substation was constructed over approximately 1,015 square yards within the colony area with the alleged connivance of field-level officials of PSPCL. Investigators claim that if senior officials had properly verified the No Objection Certificates (NOCs) and assessed the cumulative electricity load of adjoining colonies developed by the same coloniser, the entire financial burden of establishing the substation should have been borne by the developer rather than being facilitated in the manner it was.
Officials further alleged that the proposal violated existing guidelines issued by the Union Ministry of Power regarding the development of such electricity infrastructure projects. Investigators claim that despite clear deficiencies, the proposal was approved without raising objections about accessibility and location feasibility.
One of the major concerns highlighted during the investigation was the location of the substation itself. According to the Vigilance Bureau, the facility was built nearly three kilometres away from Pakhowal Link Road in an area surrounded by fields and partially developed colonies. Even years later, officials say, the substation reportedly remains inaccessible through a proper paved road, raising serious questions about planning, technical viability and administrative oversight.
The Bureau further alleged that senior officials ignored critical observations and deficiencies in the proposal submitted by field officers, including then AXEN Sanjeev Prabhakar. The proposal was eventually approved during the tenure of KD Chaudhary as CMD of PSPCL. Investigators believe the approvals directly benefited the private colony developer while potentially causing losses to the public exchequer.
The case has once again drawn attention to alleged collusion between sections of bureaucracy and private developers in infrastructure-related projects across Punjab. Political circles are also closely watching the developments, as the arrested former official is believed to have had proximity to influential political figures during his tenure.
Officials confirmed that all three accused have been taken into custody and further investigations are underway. The Vigilance Bureau is now expected to examine financial records, official correspondence, project approvals and the role of additional officials linked to the case.
The latest arrests are being seen as part of Punjab’s broader push to intensify scrutiny into past infrastructure and administrative decisions involving public utilities, urban development and alleged abuse of official position.
