Muda Scam Probe: Mysore Lokayukta Issues Notice to 18 Officials

Bengaluru: Amid the ongoing probe into the Mysore Urban Development Authority (MUDA) scam, the Mysore Lokayukta has issued notices to 18 officials directing them to appear for an inquiry within three days, as per a Republic Kannada Exclusive report. This action is tied to a 2017 complaint filed by RTI activist Gangaraju, who alleged illegal land dealings involving MUDA-acquired property.

The case revolves around Survey No. 89 in Hinkal, Vijayanagar 2nd Stage, Mysore, MUDA had acquired 7 acres and 18 guntas of land to develop a layout. However, between 1996 and 1997, Hinkal Panchayat officials, including the president, secretary and members, allegedly encroached on the land. Under the pretext of creating plots for the poor, these officials allegedly created fraudulent documents and illegally distributed over 350 plots to a wide range of beneficiaries. Among the recipients were BEML employees, school teachers, Panchayat officers, government staff, and other individuals.

Gangaraju filed a complaint with MUDA and the Anti-Corruption Bureau (ACB) in 2017, seeking to recover the encroached property. In 2022, the ACB registered an FIR, which was subsequently transferred to the Lokayukta for further investigation.

Now, the Lokayukta has summoned 18 MUDA officials, including the Superintendent Engineer and Secretary from 2017, to provide testimony as part of the ongoing investigation.

Karnataka HC on MUDA Case

This development marks a key moment in the ongoing inquiry into the alleged misuse of land in Mysore. Earlier on Monday, the Karnataka High Court on Monday adjourned to September 12 the hearing on Chief Minister Siddaramaiah's petition challenging the legality of Governor Thaawarchand's sanction for his prosecution in the Mysuru Urban Development Authority (MUDA) case.

On August 19, Siddaramaiah moved to the High Court challenging the legality of the Governor's order. In the petition, the Chief Minister submitted that the sanction order was issued without due application of mind, in violation of statutory mandates, and contrary to constitutional principles, including the advice of the Council of Ministers, which is binding under Article 163 of the Constitution of India.

Siddaramaiah sought quashing of the Governor's order contending that his decision is legally unsustainable, procedurally flawed, and motivated by extraneous considerations.

What Is the MUDA Scam Row?

The MUDA Scam Row centers around allegations of misuse in the allotment of compensatory residential sites by the Mysore Urban Development Authority (MUDA). The controversy involves land previously owned by Parvathi Siddaramaiah, wife of Karnataka Chief Minister Siddaramaiah. The opposition and the BJP have termed this situation as the ‘MUDA Scam.’
Parvathi Siddaramaiah received 3 acres of land in Kesare village, Mysuru, as a gift from her brother, Mallikarjun. This land was later acquired by MUDA for development. In return, Parvathi was allotted 38,283 square feet of residential plots in Vijayanagar, a highly sought-after area in southern Mysuru, in 2021.

The controversy intensified after Urban Development Minister Byrati Suresh transferred four MUDA officials, including MUDA Commissioner Dinesh Kumar. This action followed revelations from Right to Information (RTI) requests filed by activist Gangaraju, which pointed to issues in the Devanur layout linked to Siddaramaiah's wife.
Critics, especially from the BJP , argue that the market value of the Vijayanagar plots is significantly higher than the original land in Kesare, leading to accusations of a major scam. Notably, the land allocation occurred under the previous BJP government led by former Chief Minister Basavaraj Bommai.