Karnataka Minister Resigns Amid ST Corporation Scam Allegations

Karnataka Minister B Nagendra resigns amid allegations of involvement in a multi-crore illegal money transfer case, impacting the Congress government.



The Aryavarth Express
Agency (Bengaluru): Karnataka Minister B Nagendra resigned from his position on Thursday, 6 June, amid allegations of involvement in an illegal money transfer case involving a state-run corporation. This development poses a setback to the one-year-old Siddaramaiah-led Congress government.

Nagendra, who served as the Scheduled Tribes Welfare Minister, submitted his resignation to the Chief Minister, asserting his intent to clear his name in the ongoing investigation. The controversy revolves around the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd, which came under scrutiny following the suicide of Accounts Superintendent Chandrashekhar P on May 26. In his death note, Chandrashekhar disclosed the unauthorized transfer of Rs 187 crore from the corporation’s bank account, with Rs 88.62 crore allegedly moved to accounts linked to “well-known” IT companies and a Hyderabad-based cooperative bank.

The death note implicated the corporation’s now-suspended Managing Director J G Padmanabh, accounts officer Parashuram G Durugannavar, and Union Bank of India Chief Manager Suchismita Rawal, also suggesting that a “Minister” issued orders for the fund transfers.

Nagendra, also the Youth Empowerment and Sports Minister, clarified that no one pressured him to resign. “With my conscience and to ensure that people are not misled about me, I have voluntarily decided to resign,” he stated. He emphasized that he did not want to embarrass the Chief Minister, Deputy Chief Minister D K Shivakumar, or Congress national President M Mallikarjun Kharge.

Nagendra expressed confidence in proving his innocence, highlighting that his resignation aimed to facilitate a fair investigation. “If I’m in the Minister post during the probe, it may cause problems. Considering this, I have come to this decision,” he said, describing the charges as “baseless.”

Deputy Chief Minister Shivakumar confirmed Nagendra’s voluntary resignation, stating, “We did not ask him to resign. We had a discussion with him.” Shivakumar added that no minister would misappropriate such a large sum of money easily.

Nagendra dismissed allegations involving people linked to him as “speculations.” Regarding the deceased officer’s mention of a “Minister” in the death note, he pointed out that his name was not explicitly mentioned. “The things that have happened at the corporation were not known to me, and on coming to know I had suspended the MD (of the corporation) and the probe is on,” he asserted.

Nagendra also mentioned that the Chief Minister and Deputy Chief Minister had not sought his resignation, insisting that he should not resign. He stated that he would return to the cabinet if proven innocent, leaving the decision to the Chief Minister and the high command.

Chief Minister Siddaramaiah indicated that he would decide on seeking Nagendra’s resignation after consulting the Special Investigation Team (SIT) and senior Cabinet colleagues. The SIT, headed by Additional Director General of Police Manish Kharbikar, was formed to probe the multi-crore scam.

Meanwhile, the BJP, led by state President B Y Vijayendra and Leader of Opposition R Ashoka, marched to Raj Bhavan, urging the Governor to seek the resignations of both the Chief Minister and Nagendra. Vijayendra alleged that the illegal transfer of funds meant for ST community development could not have occurred without Finance Department approval, implicating the Chief Minister, who holds the finance portfolio.



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