On 15 July 2024, Karnataka Chief Minister Siddaramaiah acknowledged a financial irregularity amounting to ₹89.6 crore within the Karnataka Maharishi Valmiki ST Development Corporation, which contrasted with the opposition’s assertion of ₹187 crore. This admission occurred during a contentious debate initiated by BJP’s Leader of the Opposition R Ashoka in the legislative assembly.
Siddaramaiah intervened during Ashoka’s opening remarks to refute allegations connecting former ST minister B Nagendra to electoral funding fraud, specifically denying any admissions regarding funds for Ballari LS elections as claimed by the BJP and Ashoka.
The debate grew heated as the ED’s arguments in legal proceedings were discussed. Ashoka accused unidentified entities of orchestrating the scam covertly, lamenting the death of accountant Chandrashekar and labeling him a “martyr” who allegedly succumbed under pressure to manipulate funds.
Amidst calls from BJP for a CBI inquiry due to concerns over perceived bias of state police and suspicions of a government cover-up, Ashoka stressed the importance of transparency given the gravity of the allegations.
The debate in the assembly was tumultuous, marked by repeated adjournments due to objections from Congress members who argued that ongoing probes by the CBI, ED, and SIT should prevent discussion. Congress members also attempted to delay proceedings, leading council chairman Basavaraj Horatti to consult advocate general Shashi Shetty. After deliberation, Horatti allowed discussion on the condition that no individuals linked to the case were named during the proceedings.
Previously, the principal accused in the ST fund scandal reportedly purchased a pre-owned Lamborghini from a Hyderabad dealership, using ₹3.3 crore diverted from funds designated for the development of Scheduled Tribes in Karnataka. However, this extravagant purchase was short-lived. Law enforcement swiftly tracked the money, located the car, seized it, and returned it to the dealer. They also recovered the misappropriated ₹3.3 crore.
Satyanarayana Varma, 36, was apprehended by the SIT in Hyderabad on 13th June. During the operation, authorities seized ₹8.2 crore linked to the Karnataka Maharshi Valmiki ST Development Corporation Ltd.
Varma claimed that the Lamborghini had cost him ₹3.3 crore. Following his arrest in Hyderabad, Varma was brought to Bengaluru for further questioning by the SIT. He allegedly admitted to the purchase during interrogation. SIT officials verified this by contacting the dealership, though they did not disclose specifics such as the model of the vehicle involved.
Separately, the Congress government in Karnataka faced fresh allegations on Monday as the BJP raised concerns about a ₹120 crore scandal related to rice procurement for the state’s ‘Anna Bhagya’ programme. BJP’s N Ravikumar highlighted significant irregularities under the scheme, pointing out differing purchase prices where the Food and Civil Supplies Department procured rice at ₹34.6 per kg for Anna Bhagya, while the School Education Department paid ₹29.3 per kg for midday meals. In defense, Food Minister KH Muniyappa justified the price disparity, emphasizing the quality of rice distributed under Anna Bhagya.
(With Inputs From TOI)
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