EXCLUSIVE | Muda Scam: Lokayukta cops accept versions of all accused

This has raised eyebrows as they accepted the explanations or contentions of the accused ‘as they are’.
Karnataka CM Siddaramaiah
Karnataka CM Siddaramaiah File Photo | EPS
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BENGALURU: Lokayukta police, who recently filed a closure report in the alleged MUDA site allotment scam, seem to have “accepted” all explanations given by the accused, including Chief Minister Siddaramaiah. The ‘B’ (closure) report, which has been challenged by the Enforcement Directorate before the court, states that Siddaramaiah, his wife Parvathy BM, his brother-in-law Mallikarjunaswamy and Devaraju J were asked 76 questions.

The Lokayukta police accepted their explanations by remarking in the report that they are ‘acceptable’, ‘accepted’ or ‘can be accepted’. There is no mention of cross-questioning as is done in other cases.

This has raised eyebrows as they accepted the explanations or contentions of the accused ‘as they are’. Around 24 questions were posed to the CM, 14 to Parvathy, 16 to Mallikarjunaswamy and 20 to Devaraju and their statements were recorded. Snehamayi Krishna, the complainant, and ED protested against the final report that gave clean chit to the accused.

The Lokayukta police concluded that the charges were not proved against the accused, but recorded that financial losses were caused to MUDA through allotment of compensatory sites to accused No 2 Parvathy by Natesh, the then MUDA commissioner.

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The total loss caused to MUDA can be assessed by undertaking a comprehensive probe into allotment of sites to various persons illegally by predecessors and successors of Natesh between 2016 and 2024, before and after allotment of sites in the ratio of 50:50 to Parvathy, the report stated.

Monopoly-like functioning in MUDA: Lokayukta report

The report stated that there were many instances of MUDA developing residential layouts without following the land acquisition procedure, causing huge losses to land owners. But no steps were taken to act against the officials responsible for such violations. There were also instances of development of layouts without land acquisition, but with only relinquished deeds in violation of law.

No steps were taken to act against the commissioners, who failed to submit reports on the resolutions passed against the Karnataka Urban Development Authorities (KUDA) Act, 1987, at the MUDA meetings. In cases where reports were submitted, no actions were taken by the state government.

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Interestingly, keeping thousands of sites vacant in various layouts of MUDA for many years despite lakhs of people applying for them was also a major reason for officials indulging in fraudulent acts. Even sites were not reserved for specific purposes as per law. Records were not maintained on the total number of plots, including corner and commercial sites, in each layout.

Strangely, MUDA officials did not disclose under what rules compensatory sites were allotted for the layout developed without land acquisition. The officials seemed to be unaware of laws pertaining to urban development. Even resolutions were passed based on the decision of the chairman of MUDA without putting them to vote during the meetings. The Lokayukta police stated that many employees and officials have been working in MUDA for many years without any transfers. This led to a monopoly-like functioning, affecting public works.

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The Lokayukta police recommended disciplinary action against four officials, including Kumar Naik, the then deputy commissioner of Mysuru, Malige Shankar, the then tahsildar of Mysuru, and Siddappaji, the then revenue inspector.

Stating that the trio have retired and the transaction of land in question was done 19 years ago, the Lokayukta police left the decision of taking action against them to the government. They also left the decision of taking action against Shankarappa, who now works as a surveyor in Mysuru, to the government.

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