Despite repeated assurances by the newly elected Tamil Nadu government that violations at liquor retail outlets would be curbed, customers and employees have alleged that overcharging and other irregularities continue unabated at outlets run by the Tamil Nadu State Marketing Corporation (TASMAC), as reported in The New Indian Express.
Speaking at a recent press conference in Coimbatore, Minister for Prohibition and Excise K. Vignesh stated that the TVK-led government would not tolerate violations of the Maximum Retail Price (MRP) at TASMAC outlets. He also said that the government would bear all operational expenses of retail liquor shops, including electricity charges and miscellaneous costs.
However, employees and trade unions claimed that the ground reality remained unchanged. They alleged that salesmen in several TASMAC outlets continued to collect between ₹10 and ₹30 above the MRP for liquor bottles in order to meet unofficial expenses.
Customers in Tenkasi district’s Alangulam town alleged that all four TASMAC outlets in the area continued to charge an additional ₹5 above the MRP even after the change in government. They also alleged that a private outlet operating under an FL2 licence was illegally selling liquor directly to the public.
One customer alleged that a TASMAC shop located around 600 metres from a private school collected an additional ₹10 for certain rum and brandy brands and ₹5 for others. The customer further claimed that the outlet functioned round the clock. Another customer alleged that the FL2 licence holder operating a shop and bar on the Alangulam–Ambasamudram Road charged an extra ₹20 for liquor bottles priced below ₹200 and ₹40 for bottles priced above ₹200.
Customers in Coimbatore also alleged that staff members avoided collecting excess amounts only when customers questioned them or threatened to complain to higher authorities. They further alleged that officials rarely responded to complaints related to overcharging. Customers also pointed out that despite assurances made during the previous regime, official receipts were still not being issued for liquor purchases at TASMAC outlets.
Apart from allegations of overcharging, customers accused bars attached to retail liquor outlets of openly violating rules by directly selling liquor inside the premises and charging exorbitant rates for water bottles, snacks and side dishes. They alleged that one-litre water bottles were being sold for ₹30 to ₹40 even though their market price was around ₹20 or less. Customers also alleged that several bars were preparing and selling food items without authorisation.
In Mayiladuthurai district, police recently registered cases against staff members of three TASMAC outlets following complaints of overcharging. The following day, liquor shops across the district reportedly remained shut until 2 pm in protest. The TASMAC employees’ association also submitted a representation to the district collectorate seeking various measures, including adequate staffing in shops.
T. Dhanasekaran, general secretary of the TASMAC Workers’ Association, alleged that bar owners frequently intimidated TASMAC employees who questioned such practices. He claimed that despite several complaints being submitted to authorities, no concrete action had been taken against bar owners.
According to existing rules, TASMAC bars are not permitted to sell liquor directly and are only authorised to provide snacks and serve alcohol purchased by customers from retail outlets. However, Dhanasekaran alleged that many bar operators procured liquor from TASMAC shops and resold it inside bars at exorbitant prices. He further alleged that employees who questioned these practices were threatened and that, in some instances, salesmen were suspended while blame was shifted onto them.
K. Thiruselvam, general secretary of the Centre of Indian Trade Unions (CITU), criticised the TASMAC administration and alleged irregularities in the implementation of the end-to-end computerisation scheme introduced during the previous government. He stated that the administration had spent nearly ₹300 crore on the project and distributed Point of Sale (PoS) machines to retail outlets, but alleged that most of the machines were currently non-functional.
Thiruselvam alleged that customers were now being forced to make cash payments and that billing procedures had become extremely slow, leading to frequent disputes between customers and salesmen. He demanded a detailed inquiry into the computerisation project and urged the present government to streamline digital payment facilities in all retail outlets.
He also raised concerns regarding the condition of TASMAC employees, stating that many workers had been serving in retail outlets for more than two decades while continuing to receive monthly salaries below ₹20,000. He urged the government to provide better salaries and welfare measures, including provident fund benefits and medical facilities, on par with those available to government employees.
Despite attempts by The New Indian Express to seek responses, neither Minister K. Vignesh nor TASMAC Managing Director K. Nanthakumar were available for comment.
If anyone believed that TVK has cleaned up #TASMAC corruption…
My colleagues @guruvanmikanat1 & @m_saravanan1705 just did a reality check on the ground @xpresstn
@NewIndianXpress pic.twitter.com/haVqguKqCG— Anto T Joseph (@AntoJoseph) May 27, 2026
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