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After CG Power’s Gujarat semiconductor approval, Murugappa firms gave ₹125 crore to electoral trust, Scroll reports

Scroll reported that Murugappa Group companies transferred ₹125 crore to Triumph Electoral Trust within weeks of the Cabinet’s approval of a CG Power semiconductor unit in Gujarat. The reported timeline does not establish that the contributions influenced the decision.
From TheFinanceBase Team2 min to read
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Scroll reported that companies in the Murugappa Group transferred ₹125 crore to the Triumph Electoral Trust within weeks of the Union Cabinet approving a CG Power semiconductor unit in Sanand, Gujarat. The trust, in turn, made reported donations to the BJP and the DMK. The reported timing establishes a sequence—not that the donations caused or influenced the Cabinet’s decision.

What the Cabinet approved

On February 29, 2024, the Union Cabinet approved a proposed semiconductor unit in Sanand, Gujarat. CG Power was to develop it in partnership with Japan’s Renesas Electronics Corporation and Thailand’s Stars Microelectronics. The government announcement described a proposed investment of ₹7,600 crore and a capacity of 15 million chips per day, and counted the project among three newly approved semiconductor units.

The location matters: the facility was proposed for Gujarat. “Tamil Nadu firm” in the headline refers to the Murugappa Group companies in Scroll’s donation report, not to the site of the semiconductor project.

What Scroll reported about the money

In an April 23, 2025 report, Scroll said it reviewed Triumph Electoral Trust’s contribution disclosures. It reported that Murugappa Group companies transferred ₹125 crore to the trust within a month of the project approval. The reported company-to-trust transfers and trust-to-party donations are separate transactions:

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Date Company-to-trust transfer reported by Scroll Trust-to-party donations reported by Scroll
March 11, 2024 Coromandel International transferred ₹25 crore to Triumph Electoral Trust. The trust donated ₹25 crore to the BJP.
March 22, 2024 Three Murugappa Group companies transferred a combined ₹105 crore to the trust. The trust donated ₹100 crore to the BJP and ₹5 crore to the DMK.

These amounts and dates are Scroll’s account of the disclosures; the underlying filings are not independently verified here. The ₹125 crore figure is the reported total transferred by Murugappa Group companies to the trust. It should not be described as a direct ₹125 crore payment by the companies to the BJP: Scroll reported donations by the trust to both the BJP and the DMK, and the reported party-distribution amounts do not precisely match the reported company transfers on March 22.

For context, Scroll reported that Murugappa Group companies had contributed ₹21 crore to the BJP through the trust between April 1, 2014, and February 29, 2024, and described the post-approval ₹125 crore contribution to the trust as unprecedented for Triumph. Those are also Scroll’s findings from its review, not figures independently checked here.

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Does the timing prove a connection to the approval?

No. The reported transfers followed the Cabinet decision, but chronology alone does not show an exchange, influence, or causal link. The official approval announcement establishes what the government approved and when; Scroll’s report describes the financial sequence it identified in trust disclosures. Neither, as presented here, establishes why the companies made the contributions or that they affected the government’s decision.

Scroll reported that a Murugappa Group spokesperson declined to comment on the timing of the donation. That is not evidence for or against a connection.

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What happened after the approval

On January 17, 2025, the India Semiconductor Mission, CG Power and CG Semi signed a Fiscal Support Agreement for the OSAT project. The Ministry of Electronics and Information Technology said support would equal 50% of eligible capital expenditure on a pari-passu basis. This was a later project-support milestone; it does not explain the reason for the February 2024 Cabinet approval or establish a link to the reported donations.

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