Sources in the General Administration department (GAD) said Chief Minister Keshubhai Patel had signed a file late last night, suspending Parmar from service, following which the GAD served the suspension orders on the IAS official this evening.

The sources said Parmar was facing two main charges -- purchasing the adulterated edible oil and not following properly the tender procedure. The matter was serious since small children were to consume the commodity.

The Corporation had engaged GUJCOMASOL to provide groundnut oil to it for the government's mid-day meal scheme under which cooked food is provided to primary school children in the State. Since the GUJCOMASOL did not have enough stock of the commodity to supply to the Corporation, the premier co-operative body purchased it Kadi-based edible oil firm.

When the BJP came to power, the then former Civil Supplies Minister Jaspal Singh, on suspicion, ordered that samples of the edible oil be sent to laboratory for testing. The oil was found adulterated during tests. This forced the government to suspend the entire batch of the commodity and order a detailed inquiry. The Civil Supplies Department had then cancelled the licence of the Kadi oil firm. But following political pressure, the department revoked the licence cancellation order. In fact, the Kadi firm is yet to be brought to book for supplying adulterated groundnut oil.