In 2015, a team from the centre had visited Thanjavur, Pudukottai, Madurai, Perundurai (Erode district) and Chengalpattu (Kancheepuram) to scout for prospective location for the 200-acre project.
Palaniswami said that the members from the ruling party had sought the project in their district with only the benefit of the people there in their mind.
The Central team had cited some shortcomings at each of the proposed locations and "there was an opinion" that Chengipatti in Thanjavur could meet all the requirements.
The Chief Minister said that Chengipatti was recommended to the Centre in order to ensure a speedy implementation of the project and make sure that the project does not go out of Tamil Nadu. He added, "However, the Central government has not accepted that also.. They are considering setting up AIIMS in one of the locations mentioned by them (in the said districts)."
The Centre had in its 2015-16 budget announced establishment of AIIMS in Tamil Nadu and other states.
(With Inputs from PTI)