BENGALURU: The State Government on Monday issued a formal order constituting the Karnataka Veerashaiva-Lingayat Development Corporation with an allocation of Rs 500 crore, even as the debate on constituting development boards for different communities continued.Chief Minister B S Yediyurappa had earlier announced the government’s decision to constitute the corporation after community leaders, including ministers, demanded it. While the Backward Classes Welfare Department will take care of the initial expenditure, the government will allocate Rs 500 crore to take up initiatives to help “economically, socially and educationally backward” people from the community.
Veerashaiva-Lingayat is a politically influential community, especially in North Karnataka. Yediyurappa, Deputy Chief Minister Laxman Savadi and a number of ministers in the cabinet are from the community.
Sources in the Chief Minister’s Office said that `500 crore may not be allocated at once but over a period of time. As per the government order, the corporation will be registered under the Companies Act, 2013. The responsibility of preparing a “Memorandum of Association and Articles of Association, seeking approval from the state government and registering it with the Union Ministry of Corporate Affairs” has been entrusted to the commissioner, Backward Classes Welfare Department.
The government’s decision to constitute development corporations is seen as an attempt to woo various communities and has been questioned by opposition Congress leaders. They have accused the government of not providing funds to development corporations for backward classes that were constituted earlier. One such decision to constitute Maratha Development Board has come under fire from pro-Kannada organisations that have called for state bandh on December 5.