A Bengaluru court has sent former Karnataka Minister B. Nagendra to judicial custody in connection with the alleged Valmiki Corporation scam until July 18.
On July 13, 2024, the Enforcement Directorate (ED) arrested Nagendra in connection with the multi-crore scam case. Following the arrest, he was presented before the court in Bengaluru.
The the central agency conducted raids at several locations on Wednesday linked to Nagendra and MLA Basanagouda Daddal in connection with the alleged embezzlement of funds from the Valmiki Development Corporation.
The corruption case involving the Maharshi Valmiki Scheduled Tribes Development Corporation emerged after an official of the corporation died by suicide, leaving a note alleging multi-crore corruption within the corporation.
The official, Chandrasekaran (45), a resident of Kenchappa Colony in Vinobanagar, allegedly took his own life on May 26 after leaving a note accusing several officials of massive corruption and demanding action against them. Chandrasekaran was a superintendent with the MVDC and was stationed at its Bengaluru office.
In the six-page suicide note recovered by police, Chandrasekaran named three officials and alleged corruption worth crores in the corporation, calling for action against them.
On June 6, Nagendra announced his voluntary resignation amidst the ongoing investigation into allegations of illegal money transfers from the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd. He has denied all allegations against him and stated that he would be cleared after the investigation.
Earlier on Thursday, Union Minister and BJP MP Shobha Karandlaje accused Karnataka Chief Minister Siddaramaiah of being involved in the Valmiki Development Corporation scam and demanded his resignation. Karandlaje claimed that she wrote to the Union Home Minister on July 3, requesting a CBI probe into the matter. She alleged that the Karnataka government formed an SIT to obstruct the scam investigation and criticized the SIT for not assisting the CBI. She called for Siddaramaiah’s resignation, stating that transferring Rs 187 crores from banks to companies would not have been possible without his instructions.
In response to the ED raids, Karnataka Deputy Chief Minister stated that the ED’s involvement was unnecessary. He noted that the SIT had already conducted an investigation and recovered funds, and the CBI had filed an FIR and had the authority to investigate. He questioned the need for the ED’s investigation, asserting that it should follow proper procedures and not be based on individual complaints.
