'DMK Emptied Treasury': CM Vijay's Rs 10 Lakh Crore Debt Charge Triggers Sharp Stalin Retort

Last Updated:May 10, 2026, 20:12 IST

Responding strongly, Stalin cautioned Vijay against making sweeping remarks on the state’s finances in his early days in office.

A sharp political confrontation has broken out between Tamil Nadu Chief Minister Vijay and DMK president and former Chief Minister MK Stalin, marking the first major clash after the change of government in the state.

The exchange began after Vijay alleged that the previous DMK government had left behind a massive debt burden of Rs 10 lakh crore and emptied the state treasury.

First political showdown after power shift

In his first speech after being sworn in on Sunday, Vijay alleged that the DMK government had left the state’s finances in a strained condition and left behind a debt burden of Rs 10 lakh crore, while adding that his government was considering releasing a white paper on the state’s finances to ensure transparency.

“The condition in which our Tamil Nadu government has been left is something I have seen for myself," he said. “The last government has gone out after borrowing debts of more than Rs 10 lakh crore; the treasury has been completely emptied before they left office… I am not saying this for effect; only after going inside and seeing things firsthand can one understand what is there and what is not."

Vijay also said his government would not make false promises and would work towards realistic commitments with public support. “We will assess the financial situation thoroughly and bring out a White Paper for transparency," he said.

Stalin hits back

Responding strongly, MK Stalin cautioned Vijay against making sweeping remarks on the state’s finances in his early days in office. In a post on X, Stalin congratulated Vijay on becoming Chief Minister but rejected the claim that the state treasury had been emptied.

“Don’t start saying right away that the government has no money. It does have it. What’s needed is the will to give it to the people, and the ability to govern," he said.

Stalin also defended the DMK’s record, stating that the previous government had implemented several welfare schemes despite challenges such as the Covid-19 pandemic, floods, and what he described as limited support from the “Union BJP government".

He further said the state’s debt levels were within permissible limits and had already been explained in the February budget. “Don’t deceive the people who voted for you again and try to divert the issue," Stalin wrote, adding that the financial position had been clearly presented earlier.

Vijay’s Tamilaga Vettri Kazhagam (TVK) formed the government with the support of Congress, VCK, CPI, CPI(M), and IUML, crossing the majority mark in the 234-member Assembly despite not winning a standalone majority.

(With inputs from PTI)

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