The Enforcement Directorate (ED) on Monday announced that it has attached fresh assets worth ₹40 crore in connection with the Karnataka MUDA-linked money laundering investigation. This latest action occurs amidst an ongoing scrutiny into significant financial irregularities tied to the Mysuru Urban Development Authority (MUDA).
On October 4, the agency issued a provisional attachment order for 34 immovable properties, which include several MUDA sites across Karnataka. The market value of these assets stands at approximately ₹40.08 crore, according to an official statement released by the ED.
This investigation began after the Karnataka Lokayuktha Police filed a First Information Report (FIR). With the latest round of attachments, the total properties seized have now reached an alarming ₹400 crore as the agency intensifies its efforts to unravel the web of financial malfeasance.
In September, the ED arrested former MUDA Commissioner GT Dinesh Kumar, who currently remains in judicial custody. The investigation has brought to light the alleged routing and layering of undue gratification received by Kumar, implicating him in a sprawling money laundering network.
“Such proceeds of crime were used for purchasing immovable properties in the names of relatives and associates of GT Dinesh Kumar,” the ED stated. It further noted that there were illegal allotments of 31 MUDA sites made while Kumar held his position.
The ED has also alleged a significant nexus between MUDA officials and local real estate businessmen, claiming evidence points to cash payments exchanged for site allotments, compensation adjustments, and layout approvals. This deep-rooted corruption raises concerns over governance at the local level.
Additionally, this ongoing case involves irregularities related to land allotments made to Parvathi, the wife of Karnataka Chief Minister Siddaramaiah. However, in July 2024, the Supreme Court upheld a Karnataka High Court order that dismissed ED proceedings against her, demonstrating the complex intertwining of politics and law.
The Justice P.N. Desai Commission, appointed by the Karnataka state government, has since exonerated Siddaramaiah and his family from all allegations, while the Lokayuktha Police also provided a clean chit to Siddaramaiah, his wife Parvathi, and two others due to a lack of sufficient evidence.
This situation underscores the intricate issues surrounding administrative accountability and the rule of law in India, where political figures often find themselves at the centre of financial investigations. With the ED’s ongoing efforts in the Karnataka MUDA case, the public remains anxious to see how these revelations will unfold and whether further legal actions will arise against involved parties.
