TN govt's finance honcho Palanivel Thiaga Rajan relieved of portfolio

Chennai: The high profile Tamil Nadu Minister Palanivel Thiaga Rajan was on Thursday relieved of the key portfolio of Finance and Human Resources Management and given the Information technology department.

Thangam Thennarasu, the soft-spoken DMK strongman from southern Tamil Nadu, is the new Finance Minister. Industries portfolio held by him was allocated to TRB Rajaa, the three time legislator from Mannargudi constituency who was newly inducted into the Council of Ministers.

Rajaa, the IT wing secretary of the DMK is the son of party treasurer and former Union Minister T R Baalu. He was sworn-in as Minister earlier in the day by TN Governor R N Ravi at an official ceremony in the Raj Bhavan.

PTR, as Thiaga Rajan is addressed, thanked the CM for entrusting the IT department to him, even as he said the last two years as Finance Minister under Stalin was fulfilling for him.

A former international investment banker, Thiaga Rajan's start as a Minister in 2021 was dramatic as he began attracting attention right from his early days in the government for his sharp attacks targeting the Centre over GST and devolution to well-performing States and the ground continued to be strong for him.

The first murmur against him started coming from government employees who construed several of his comments as not favouring them and in particular a return to the Old Pension Scheme, promised by the DMK in its manifesto for 2021 Assembly election.

In March, the TN Governemnt Employees Association hit out at Thiaga Rajan and asked whether his 'social justice' would be for people's welfare and indicated the Minister might only toe a 'corporate' based economic model.

When the BJP released two audio tapes which purportedly contained serious allegations levelled by Thiaga Rajan against some heavyweights connected to the Cabinet and the party, the tide began turning against him more.

A section of party men also found him to be not having his ear to the ground when it came to sentiments of party workers and the overall DMK line on some issues.

Soon after he was taken out of the Finance department, Thiaga Rajan said the past two years (2021-23) have been the most fulfilling in his life under the leadership of Stalin.

"I am grateful that CM @mkstalin has now assigned me the portfolio of Information Technology – globally the #1 industry for investment and job-creation today. We know that technology shapes the future," Thiaga Rajan tweeted taking the new development in his stride.

The past two years have been the most fulfilling in my life. Under the leadership of CM @mkstalin, I presented one revised budget (’21 - ’22) during the pandemic, and two annual budgets (’22 – ’23, ’23 – ’24) post-pandemic. Despite inheriting record deficits and debt ratios, we…

— Dr P Thiaga Rajan (PTR) (@ptrmadurai) May 11, 2023

Rajan had earlier served as the DMK's IT Wing secretary as well, before resigning from the post early last year. TRB Rajaa succeeded PTR.

Ackowledging his predecessor T Mano Thangaraj's efforts in the IT department, PTR said he plans to build on the "great efforts" of his cabinet colleague.

"I wish the incoming Finance Minister @TThenarasu great success and many more achievements as he assumes responsibility today. I am sure he will accelerate the progress already made and deliver new records in his tenure," PTR tweeted.

BJP Tamil Nadu vice president Narayanan Thirupathy on his twitter handle said: "If Chief Minister @mkstalin does not accept that @ptrmadurai was incompetent in handling the finance portfolio, then it is obvious that he was shifted for the audio leaks. If he (CM) accepts so, then he has to apologize for appointing a incompetent person to manage the state's finance."

If the Chief Minister @mkstalin do not accept that @ptrmadurai was incompetent in handling the finance portfolio,then it is obvious that he was shifted for the audio leaks.If he accepts so,then he has to apologize for appointing a incompetent person to manage the state's finance.

— Narayanan Thirupathy (@narayanantbjp) May 11, 2023

A Raj Bhavan official release said Thiaga Rajan would helm the IT and digital services department.

The IT department portfolio was previously handled by Mano Thangaraj and he has now been assigned the Milk and Dairy Development department. SM Nasar, who held the Milk portfolio was dropped from the Cabinet on May 9.

MP Saminathan, Information Minister has got the Tamil development and culture portfolio as well.

Chief Minister MK Stalin going in for the Cabinet reshuffle has been on the cards for a while now.