SC Orders CBI To Probe Arunachal CM Pema Khandu's Family Over Links In Public Works Contracts; Seeks Report In 16 Weeks

The Supreme Court on Monday directed the Central Bureau of Investigation to start a preliminary inquiry into alleged discrepancies in allotment of public works contracts by the Arunachal Pradesh government to firms related to Chief Minister Pema Khandu.

The bench, consisting of Vikram Nath, Sandeep Mehta, and NV Anjaria, asserted that the investigation should cover all public works contracts and orders dated from January 2015 to December 2025. The CBI has been asked to file a status report before the court within 16 weeks.

Supreme Court orders CBI to conduct preliminary inquiry into the allegations that various contracts of the public works in Arunachal Pradesh were awarded to firms linked to Chief Minister Pema Khandu's family members.

Supreme Court asks CBI to submit a status report within 16… pic.twitter.com/20Bjsbrplw

— ANI (@ANI) April 6, 2026

 The Arunachal Pradesh government has described the case against it as "sponsored litigation".

The petition was filed by two NGOs, Save Mon Region Federation and Voluntary Arunachal Sena, represented by lawyer Prashant Bhushan, who argued that four firms allegedly connected to the Chief Minister's relatives were awarded contracts and work orders valued at about Rs 1,260 crore over the past decade.

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As per the petitioners, works worth approximately Rs 1,245 crore were allotted through tenders, with an additional Rs 25 crore issued as work orders. 

At the hearing, the petitioners stated that the contracts consisted roughly three per cent of the total government work awarded in the state during the period and sought an independent investigation, arguing that a state-level probe may not be impartial.

Claims Of Biased Approach

The plea was filed in 2024, accusing Khandu of alleged favoritism. They alleged that construction firm M/s Brand Eagles, said to belong to his spouse, was one of the beneficiaries.

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It further stated that his nephew, Tsering Tashi, an MLA from Tawang district who owns M/s Alliance Trading Co., received work contracts without proper procedure.Subsequently, the court issued notice to the respondents in January 2024. In March 2025, it directed the Ministry of Home Affairs, the Ministry of Finance, and the state government to provide thorough responses on how public work tenders were awarded.