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The Enforcement Directorate (ED) is poised to investigate Karnataka Chief Minister Siddaramaiah and his family in connection with alleged irregularities in land deals involving the Mysore Urban Development Authority (MUDA). The investigation stems from a recent First Information Report (FIR) filed by the Karnataka Lokayukta, the state's anti-corruption agency, accusing Siddaramaiah and his wife of corruption, cheating, and forgery related to the allocation of MUDA housing plots. The ED's probe, which could potentially involve the seizure of assets, is a significant development in a case that has stirred controversy in Karnataka.
The ED's decision to launch a money laundering investigation is based on the Lokayukta's FIR, which alleges that Siddaramaiah's wife, Parvathi, received 14 MUDA housing plots in a prime location in Mysuru through a land exchange scheme in 2021. The scheme involved the exchange of a 3.16-acre plot gifted to Parvathi by her brother in 2010 for the housing plots. The Lokayukta FIR claims that the exchange was orchestrated under a 50:50 scheme created during the BJP's regime, and that the process was marred by irregularities and potentially resulted in a loss of Rs 56 crore to the state.
The ED's investigation will likely focus on whether the alleged land exchange was a conduit for money laundering activities. The agency will scrutinize the financial transactions involved in the exchange, including the source of funds used to acquire the initial land plot and the subsequent transactions related to the housing plots. The ED's investigation could have far-reaching consequences for Siddaramaiah and his family, potentially leading to asset seizures and other legal actions.
The Karnataka High Court's recent decision to uphold the Governor's approval for private individuals to file corruption cases against the CM has paved the way for the Lokayukta's investigation and, subsequently, the ED's probe. The case has ignited political tensions in Karnataka, with opposition parties accusing Siddaramaiah of corruption and demanding his resignation. The CM has denied any wrongdoing, maintaining that the allegations against him are politically motivated. The ED's investigation is likely to intensify the scrutiny of the case and could have a significant impact on the political landscape of Karnataka.