Leaders of Tamil Nadu's opposition DMK and PMK today demanded immediate dismissal of Chief Secretary P Rama Mohana Rao, whose premises were on raided on Wednesday by Income Tax officials.
Raids were also conducted in several places connected to Rao, his son, his realtives and also the residence of Ramesh, Private Secretary of Tamil Nadu Chief Minister O Panneerselvam.
The I-T department claimed to have seized Rs 30 lakh cash in new currency notes and 5 kg gold from the raids conducted across two states.
The department also seized Rs 5 crore of undisclosed income from bureaucrat's son Vivek who is connected to the arrested businessman J Sekar Reddy.
The raids were conducted in connection with the case related to seizure of 127 kg of gold and over Rs 170 crore in cash, the biggest cash haul of new notes post demonetisation.
Speaking to reporters here, Leader of the Opposition in the Assembly M.K.Stalin said the Chief Secretary should immediately resign.
The DMK leader also said that it was most important for the Chief Minister to appoint a new Chief Secretary in Rao's place.
He also demanded a detailed statement from Pannerselvam on the issue.
Terming it as a disgrace for the state, PMK founder S. Ramadoss demanded Rao's dismissal and legal action against him.
Rao was appointed to the most important post overlooking the seniority of several other IAS officials.
Meanwhile, former IAS officer and a social activist M.G.Devasahayam told IANS that the government has the power to summarily dismiss an IAS officer under the Article 311 of the Indian Constitution.
"The raid has opened a Pandora's box. Corruption cannot happen in government without the connivance of corrupt bureaucrats," former IAS officer Devasahayam told IANS.
He also said the central government cannot wash off its hands of its responsibility and also take credit now.
"Rao superseded several senior IAS officers when he was appointed as the state Chief Secretary. Even today there are 18 IAS officers senior to him working in the state or in the central government," Devasahayam said.
"The raid in Rao's residence is a great, great shame for the IAS cadre," he added.