Complaint Filed Against Karnataka CM Siddaramaiah and Others for Alleged Document Forgery in MUDA Compensation Claim

In a significant development, a complaint has been filed against Karnataka Chief Minister Siddaramaiah and nine others, alleging that they submitted forged documents to the Mysuru Urban Development Authority (MUDA) to claim compensation. The Deccan Herald reported that social activist Snehamayi Krishna lodged the complaint, implicating Siddaramaiah, his wife Parvathi, his brother-in-law Mallikarjuna Swamy, landowner Devaraj, and six other individuals.

The complaint, supported by an ANI report, also names the involvement of the deputy commissioner, tahsildar, deputy registrar, and MUDA officials. The alleged forgery pertains to land located at plot number 464 in Kesare village, categorized as agricultural land. According to the complaint, Siddaramaiah’s brother-in-law, B M Mallikarjun, purchased this land from Devaraju and later gifted it to his sister, B M Parvathi, in 2010. MUDA subsequently acquired the land and developed it into a layout.

The core of the complaint alleges that the sub-registrar, influenced by the Chief Minister, used fake sale and gift deeds to facilitate the transaction. This act of forgery was purportedly carried out to manipulate the compensation claim process. The broader MUDA scam involves accusations that certain beneficiaries received more land than they were entitled to, or were allotted land in alternative sites with a higher 'guidance' value, causing significant financial loss to MUDA and the Karnataka government.

The controversy deepened with allegations from a retired official that MUDA had illegally distributed sites on a 50:50 basis in alternative developed areas to non-compensated landowners. This illicit distribution allegedly resulted in a loss exceeding ₹1,000 crore. Under this scheme, Siddaramaiah’s wife was reportedly allotted 38,284 square feet of alternate land, equating to 14 housing sites in the Vijayanagar area of Mysuru.

Also Read | Dollar Index Steadies Around 105 Amid Market Anticipation for Fed Chair Powell’s Testimony

Opposition leaders have called for a thorough investigation into the matter. Karnataka State Legislative Assembly Opposition Leader Ramaiah Ashoka demanded that the Chief Minister hand over the case to the Central Bureau of Investigation (CBI). Ashoka took to social media platform X to question Siddaramaiah’s integrity, stating, "...if you have even a little bit of honesty, if you have any conscience, hand over Muda scam to CBI investigation immediately. Why are they afraid to give it to CBI when they have done nothing wrong?"

The opposition further alleges that more than a hundred files related to the case have disappeared, with the district collector being implicated in the scandal. CM Siddaramaiah previously stated that the land was allotted to his wife by the previous BJP government as part of the "50:50" ratio scheme. Besides filing the police complaint, activist Snehamayi Krishna has also written letters to the Karnataka governor, the state chief secretary, and the principal secretary of the revenue department, seeking further action.

Detailed Breakdown of the Allegations:

1. The Land Deal and Forgery: The crux of the complaint is centered around the land deal involving plot number 464 in Kesare village. Originally agricultural land, this plot was purchased by B M Mallikarjun from Devaraju. In 2010, Mallikarjun gifted this land to his sister, B M Parvathi, Siddaramaiah's wife. Following this, MUDA acquired the land and developed it into a residential layout.

The complaint alleges that the sub-registrar, under the influence of Siddaramaiah, executed fake sale and gift deeds to facilitate the compensation claim. This fraudulent activity allegedly allowed Siddaramaiah and his associates to manipulate the MUDA compensation process, resulting in undue financial benefits.

2. The MUDA Scam and Financial Loss: The MUDA scam is characterized by allegations of improper land allotment practices. Some beneficiaries are accused of receiving more land than they were entitled to, while others were allotted land in alternative sites with a higher 'guidance' value. The 'guidance' value is the minimum value set by the government for land registration purposes.

The controversy was fueled by claims from a retired official who alleged that MUDA had distributed sites on a 50:50 basis in alternative developed areas to non-compensated landowners illegally. This malpractice reportedly caused a financial loss of over ₹1,000 crore to MUDA and the Karnataka government. Under this scheme, Siddaramaiah’s wife was allotted 38,284 square feet of alternate land in the Vijayanagar area, equivalent to 14 housing sites.

3. Political Reactions and Demands for Investigation: The opposition has seized upon these allegations, demanding a comprehensive investigation. Ramaiah Ashoka, the Opposition Leader of the Karnataka State Legislative Assembly, has been particularly vocal, calling for the case to be handed over to the CBI. Ashoka's call for a CBI probe is based on the need for an impartial investigation to uncover the truth behind the allegations.

Ashoka accused the government of being afraid to hand over the investigation to the CBI, suggesting that their reluctance implies wrongdoing. He highlighted the disappearance of crucial files and the involvement of high-ranking officials, including the district collector, as indicative of a larger conspiracy.

4. CM Siddaramaiah's Response: In response to the allegations, CM Siddaramaiah has maintained that the land allotment to his wife was done by the previous BJP government under the "50:50" ratio scheme. Siddaramaiah has dismissed the accusations as politically motivated and has expressed confidence that the truth will prevail.

The activist Snehamayi Krishna, who filed the complaint, has also written letters to key officials, including the Karnataka governor, the state chief secretary, and the principal secretary of the revenue department. These letters seek further action and a thorough investigation into the matter.

Also Read | Maruti Suzuki Soars on Policy Boost; M&M and Tata Motors Lag Amid Industry Shifts

Conclusion: The allegations against Karnataka CM Siddaramaiah and others concerning the forgery of documents for MUDA compensation claims have sparked a significant political controversy. The complaint filed by social activist Snehamayi Krishna has led to calls for a CBI investigation, highlighting the need for transparency and accountability in the matter.

As the investigation progresses, it will be crucial to uncover the full extent of the alleged forgery and its impact on MUDA's financial health. The outcome of this case could have far-reaching implications for the Karnataka government and its leadership. In the meantime, the political landscape remains charged with accusations and demands for justice, underscoring the importance of addressing corruption and ensuring fair governance.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst & Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX & Upstox.