MUDA Case: ED Attaches Assets Worth Rs 300 Cr, BJP Demands Karnataka CM Siddaramaiah's Resignation

The ED alleged that "benami and dummy" individuals were used to allocate sites and illegal gratifications in the form of cash, property and MUDA sites were recovered during raids.

The Enforcement Directorate (ED) attached over 140 immovable assets valued at approximately Rs 300 crore in a money laundering case linked to the Mysuru Urban Development Authority (MUDA) on Friday. The case involves Karnataka Chief Minister Siddaramaiah, his family and others and has sparked a political uproar with the BJP demanding the CM’s immediate resignation.

The investigation revolves around alleged irregularities in land allotment by MUDA. According to the ED, the attached properties are registered under various individuals, including real estate agents and businessmen.

Explaining the MUDA scam, the ED said, "It is alleged that Siddaramaiah has used his political influence to get compensation of 14 sites (plots) in the name of his wife Smt B M Parvathi in lieu of 3 Acres 16 Guntas of land acquired by MUDA. The land was originally acquired by MUDA for Rs 3,24,700. The compensation in the form of 14 sites at posh locality is worth Rs 56 Crore (approx)." 

The role of former MUDA commissioner D B Natesh has emerged as instrumental in the illegal allotment of compensation sites to Parvathi, the ED added.

The agency also alleged that "benami and dummy" individuals were used to allocate sites and illegal gratifications in the form of cash, property and MUDA sites were recovered during raids. Funds were reportedly routed through cooperative societies to purchase properties and luxury vehicles in the names of relatives of GT Dinesh Kumar, another former MUDA commissioner.

Reacting to the developments, BJP state president BY Vijayendra took to social media platform X, calling for Siddaramaiah's resignation. "If CM @siddaramaiah values the integrity of his office, he must step down immediately and allow an impartial probe to proceed. The people of Karnataka deserve transparency, accountability, and justice!," Vijayendra wrote.

He accused Siddaramaiah of systemic corruption, alleging that the ED investigation exposed how political influence was used to illegally allocate sites to "benamis" and other influential individuals.

Siddaramaiah, who the Karnataka Lokayukta has questioned in the case, has denied the allegations, dismissing them as politically motivated. "The opposition is scared of me, and these accusations are baseless," he said in his defense.