Election flying squads and static surveillance teams seized over Rs 18 lakh in cash in separate checks in Madurai and Trichy regions within a day of the Model Code of Conduct (MCC) coming into force for the upcoming Tamil Nadu assembly elections.
In Madurai district, election officials seized Rs 11.29 lakh in cash from six individuals who were transporting the money without proper documents. The seizures were made between 6am and 6pm near Vallalapatti, Kottampatti, the Melur Union office, Melur Arts College and Vellaloor Vilakku.
Officials said the action was taken as part of intensified surveillance after the Election Commission of India directed strict monitoring of unaccounted cash movement exceeding Rs 50,000 during the MCC period. The seized money would be returned to the owners upon submission of valid documents explaining the purpose of transport.
Meanwhile, in the Trichy region, election officials seized over Rs 7 lakh in cash from various locations, mostly in rural areas, within 24 hours of the MCC coming into effect.
In Trichy district, 54 election monitoring teams — including flying squads and static surveillance squads — have been formed to intensify vehicle checks. District collector V Saravanan urged the public not to carry cash exceeding Rs 50,000 or goods worth more than Rs 10,000 without valid documents.
Cash or valuables seized during checks are deposited in the district treasury and returned only after officials verify that they are not linked to any political party or candidate and after supporting documents are scrutinised by a designated committee.
With enforcement intensifying, traders said the restrictions could affect business during the ongoing wedding season and advised customers to avoid carrying large sums of cash without bills.
"For Rs 50,000, people cannot buy even half a sovereign of gold. While people in tier-II cities are accustomed to digital transactions, customers from villages prefer cash. We have urged them to make digital payments and carry bills when transporting jewellery," said Rathish Babu, an employee of a private jewellery chain in Trichy.
Trader associations have also sought a revision of the cash limit. "Recovering seized money is a herculean task. Vegetable vendors and some grocery suppliers prefer cash transactions. The cap on carrying cash while travelling should be revised to Rs 2 lakh, taking inflation into account. Rs 50,000 is not a huge amount," said V Sridhar, Trichy district president of the Tamil Nadu Vanigar Sangankalin Peramaippu.
Similar concerns were raised by traders in Madurai. N Pandi, state president of the Candy Manufacturers and Sellers Association, said the limit was impractical for traders. "Even a sovereign of gold costs around Rs 1 lakh now. How can an ordinary person buy gold if the Election Commission fixes Rs 50,000 as the maximum cash that can be carried?" he asked.
Pandi said candy sellers from various southern districts regularly visit Madurai to purchase confectionery in bulk. "If they come with just Rs 40,000 to Rs 45,000, they cannot even buy three items. They need at least Rs 1.5 lakh for a reasonable purchase. Otherwise, small businesses will grind to a halt," he said.
V Senthikumar, president of the Madurai District Tiny and Small Scale Industries Association (MADITSSIA), said the cap could affect small industries and employers who pay wages in cash.
"Even though we represent small-scale industries, most of our transactions are business-to-business. Rs 50,000 is a very minimal slab and should be reconsidered to at least Rs 2 lakh to Rs 3 lakh," he said.
"In small firms with fewer than 10 employees, salaries and weekly wages are often paid in cash. In such situations, an employer needs at least Rs 2 lakh to Rs 3 lakh to distribute wages. The ECI slab could affect these sectors," he added.
Election officials said monitoring teams would continue strict vehicle checks across districts to curb the movement of unaccounted cash and goods during the MCC period, as part of efforts to prevent attempts to influence voters.
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