Ponmudi has been alleged to have accumulated disproportionate assets during his term in office. He was earlier arrested on land grab charges on Aug 31. On this particular case, he was denied bail by the Madras High Court. He is presently in jail.
The former minister was accused of misusing his position of authority and usurping the land that originally belonged to a state transport corporation society. He utilised the land for an educational trust for which his mother-in-law is a trustee.