The Madhya Pradesh government has taken action against 392 officials over irregularities in purchases made by urban local bodies, including 135 Chief Municipal Officers (CMOs). Seven officials have been dismissed from service, while more than 80 contractors and suppliers have also faced action in the ongoing crackdown on procurement-related irregularities.
BIG ACTION BY THE MADHYA PRADESH GOVERNMENT 🚨 Around 392 officials face action over financial irregularities, including 135 Chief Municipal Officers. 7 officials dismissed, ₹3–4 crore recovered, and action taken against 80+ contractors and suppliers. ACS Sanjay Dubey explains how AI and technology are being deployed to strengthen monitoring and ensure accountability in the use of public funds.
— Megh Updates 🚨™ (@MeghUpdates) October 25, 2026
Additional Chief Secretary Sanjay Dubey said the government had recovered around Rs 3-4 crore from officials and employees who made irregular payments. He added that the action would continue and that the punishment depended on the seriousness of the irregularities and the level of negligence involved.
₹250 crore savings possible in government purchases
The action follows a departmental review that found major differences in the prices paid by urban local bodies for goods and services purchased through the Government e-Marketplace (GeM).
During the review, a presentation by Anshuman Raj, Additional Managing Director of the Madhya Pradesh State Electronics Development Corporation, highlighted purchases worth around Rs 1,134 crore made by 374 urban local bodies over three years.
The presentation estimated that the government could have saved around Rs 250 crore if these purchases had been made at average market prices. The figures raised questions about how public money was being spent and whether the purchases were made at reasonable prices.
The crackdown comes days after a video surfaced showing Sanjay Dubey warning officials of urban local bodies that procurement irregularities would not be tolerated.
During the departmental review, Dubey questioned municipal officials over differences in the payments made for goods and services purchased by their departments. He stressed that officials responsible for irregular payments and negligence would face action.
Explaining the government’s approach, Dubey said the punishment would depend on the seriousness of each case. He made it clear that officials involved in bigger irregularities and more serious negligence would face stronger action.
Contractors and suppliers also under scrutiny
The government’s action has not been limited to officials. More than 80 contractors and suppliers who provided goods or services to urban local bodies have also faced action.
Dubey said the government had recovered around Rs 3-4 crore from officials and employees involved in irregular payments. He added that the process of taking action against those responsible was still underway.
The crackdown aims to address procurement irregularities and ensure that public money is spent properly. With hundreds of officials facing action and contractors and suppliers also under scrutiny, the state government has signalled that irregularities in government purchases will not be ignored.

