ED exposes systemic collusion in MUDA 50:50 site scam probe
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ED exposes systemic collusion in MUDA 50:50 site scam probe

January 19, 2025

Nexus between politicians, high-level officers, real estate businessmen

Bengaluru: The Enforcement Directorate (ED) has attached 142 benami properties worth Rs. 300 crore in connection with the Mysuru Urban Development Authority (MUDA) allotment scam. These properties, spanning across Mysuru, Mandya, and Bengaluru, are predominantly linked to real estate businessmen and politicians.

The ED announced the seizure on Friday through a post on X, marking a critical milestone in its investigation into corruption within MUDA. Earlier, the ED had flagged severe irregularities to the Mysuru Lokayukta, exposing deep-rooted corruption and the illegal transfer of black money through benami transactions.

The ED’s probe has unveiled the involvement of politicians, their families, and MUDA officials in acquiring and trading sites under benami names.

Those implicated include former MUDA Commissioners, a prominent real estate businessman from Mandya, and four real estate businessmen from Bengaluru and Mysuru. These individuals are reportedly close to two Ministers in the current Government.

While ruling party leaders initially dismissed allegations of misconduct within MUDA, the ED’s revelations have cast a harsh spotlight on systemic collusion. The investigation also uncovered the involvement of Chief Minister Siddaramaiah’s family in acquiring 14 MUDA sites under questionable circumstances.

Social activist Snehamayi Krishna has filed a petition in the High Court, urging a Central Bureau of Investigation (CBI) probe into the acquisition of the 14 MUDA sites tied to the CM’s family. The High Court has scheduled the next hearing for Jan. 27 and directed the Mysuru Lokayukta to submit its investigation report by that date.

The ED’s ongoing investigation suggests that the 142 properties attached are just the beginning. Thousands of MUDA sites are suspected to have been acquired using benami names, with crores of rupees laundered through fraudulent transactions.

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