The Enforcement Directorate (ED) named Karnataka Chief Minister Siddaramaiah, his family members, and key officials of the Mysore Urban Development Authority (Muda) in the investigation into irregularities of site allotments of the civic body, amounting to approximately Rs 56 crore. The investigation revealed large-scale irregularities, including illegal de-notification of government-acquired land and fraudulent land conversion.
According to the ED report, the scam involved tampering with official records, misuse of political influence, and forgery. One of the key findings includes the illegal de-notification of land that had already been acquired by Muda for public development. The process, as per the ED, was undertaken without expert review or due diligence. At the time, Siddaramaiah was the Deputy Chief Minister and a member of the Muda board, though he was not present at the meeting where the de-notification was discussed.
The report also highlights fraudulent land conversion, with revenue department officials falsely claiming to have conducted spot inspections. These reports omitted Muda's development work on the land and misrepresented the presence of unauthorized constructions. Satellite imagery and official records, however, contradict these claims. Additionally, an indemnity bond submitted by BM Mallikarjuna Swamy, a key figure in the case, did not bear his signature, raising suspicions of document manipulation.
One of the most controversial aspects of the case is the illegal allotment of sites to Siddaramaiah’s wife, BM Parvathi. The investigation revealed that 14 prime-location sites were allocated to her in violation of statutory guidelines. These sites, obtained through alleged political influence, were later returned to Muda following the launch of the ED probe. The report suggests that the entire process - from de-notification to site allotment - was orchestrated to acquire valuable land within a Muda-developed layout.
The ED has also pointed to the role of Siddaramaiah’s son, Yathindra, who was an MLA and a Muda board member at the time of the site allotments. Additionally, Siddaramaiah’s close aide, SG Dinesh Kumar, also known as CT Kumar, is accused of forgery and manipulating site allotments in Parvathi’s favour.
The investigation has confirmed violations under the Prevention of Money Laundering Act (PMLA), 2002. The key individuals named in the case include Siddaramaiah, BM Parvathi, BM Mallikarjuna Swamy, J Devaraju, and several unidentified Muda officials, real estate businessmen, and influential figures. The ED maintains that despite Parvathi returning the sites to Muda on October 1, 2024, the offence of money laundering was committed under Section 3 of the PMLA.
The scam allegedly involved collusion between political figures and Muda officials, particularly the then Commissioner of Muda, DB Natesh. The ED is now conducting further investigations into the financial transactions and possible concealment of illegally acquired assets.
Source: India Today