On being examined in the TANSI Jaya Publications case, Latika, now State Vigilance Commissioner, told Special Court-III: ``The real reason was that I did not want to work in the Industries Department on account of my differences with then Rural Industries Minister Mohammed Asif. Because an IAS officer is supposed to be a friend, philosopher, guide and an assistant to the Minister. When that relationship was broken there was no point in continuing.''

However in her leave application she had stated that she wanted to be with her husband as he had undergone a surgery.

Earlier, Latika said that she along with Asif (an accused in the case), the then Chief Secretary, Finance Secretary and others had participated in a review meeting chaired bythen Chief Minister J Jayalalitha on October 14, 1991. At the meeting it was decided to sell the properties of defunct TANSI units including land and building belonging to TANSI Foundries.

Later in a circulation note, she had sought orders as to whether the offer of Jaya Publications of Rs 3.01 lakh per ground--which was the highest rate-- be accepted. She had mentioned that the offer of the firm was slightly higher than the value of Rs three lakh fixed by the then Collector and Land Administration Commissioner. At the same time, she pointed out that the offer rate was much below the guideline value of Rs 7.30 lakh per ground indicated by the Registration Department. Latika had also mentioned that the offer to buy the buildings for Rs 19.20 lakh was ``much lower'' than the PWD rate of Rs 24.91 lakh and the actual measurement valuation of Rs 53.12 lakh.

She then marked the note to the Finance Secretary, Chief Secretary, Rural Industries Minister and the Chief Minister. Following this, Asif asked her toscore out the word Chief Minister from the circulation note. ``In effect this would have meant that the file would have stopped at the level of the Finance Minister itself,'' she said adding ``I pleaded my inability in view of a GO which requires approval of all tenders above the value of Rs one crore by the Chief Minister.''

However, Asif told her that ``the Chief Minister did not want the file to be sent to her.'' This is when Latika realised, that ``probably Jayalalitha had some interest in Jaya Publications.'' As a result ``Asif got very angry with me and I came back to my room,'' she said.

Latika in her deposition alleged that later, she received a call from the Chief Secretary T V Venkataraman ``who conveyed Jayalalitha's unhappiness over the way I was functioning.'' He could not point out any instance that could have caused Jayalalitha's unhappiness.

It was at this juncture that she decided to go on a month-long leave from January 10, 1992. She joined back as Fisheries Commissioner, a post``below my status as I succeeded Poornalingam, who is six years my junior.'' During the leave period, a policeman was posted outside her residence. Amid objections from the defence counsel, Latika said ``I can only conjecture that the vigil was to see if any newspaper reporters were visiting me.'' The policeman was removed 10 days later.

Earlier, T V Venkataraman said that Jayalalitha became angry with him for suggesting that the GO with regard to the sale of TANSI property be withdrawn as there was some model code of conduct for Minsters. After coming to know that the then Chief Minister had some interest in Jaya Publications, he informed her that ``it will not be suitable for her or those close to her to buy the property. I said that she could refer the matter to the Governor.''

She did not heed to it and instead retorted if he (Venkatraman) ``would make such suggestions to other Chief Ministers,'' he said.