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What is MUDA scam in which Karnataka CM Siddaramaiah is facing probe?

The controversy revolves around violations of a compensatory land scheme introduced by MUDA in November 2020, known as the 50:50 scheme

Reported by:  PTC News Desk  Edited by:  Jasleen Kaur -- September 24th 2024 06:41 PM
What is MUDA scam in which Karnataka CM Siddaramaiah is facing probe?

What is MUDA scam in which Karnataka CM Siddaramaiah is facing probe?

MUDA case: Karnataka Chief Minister Siddaramaiah is set to face an investigation in the Mysore Urban Development Authority (MUDA) site allotment case after the High Court upheld the Governor's sanction for prosecution. The case, commonly referred to as the MUDA scam, is a significant challenge for Siddaramaiah in his second term as Chief Minister. Despite rarely facing corruption allegations in the past, the case has put both Siddaramaiah and his family under scrutiny.

The BJP-led opposition, along with activists, have accused Siddaramaiah and his wife, Parvathi, of benefitting from an "illegal" compensatory land deal with MUDA, with alleged irregularities amounting to Rs 4,000 crore.


What is the MUDA Scam?

The controversy revolves around violations of a compensatory land scheme introduced by MUDA in November 2020, known as the 50:50 scheme. The scheme entitled land losers to receive 50% of developed sites in exchange for their land used for developing important areas in Mysuru. The remaining 50% of the land was retained by MUDA. However, the scheme was scrapped in 2023 by Siddaramaiah's government.

Activists claim that in 2022, Siddaramaiah's wife, Parvathi, was allocated 14 premium sites in Vijayanagar, violating the established norms of the scheme. The central allegation focuses on a 3.16-acre plot in Kesaru village, Mysuru, which was reportedly transferred to Siddaramaiah’s brother-in-law, Mallikarjun Swamy, in 2005. This land was gifted to Parvathi in 2010 but was later acquired by MUDA, which allocated alternative sites to her in return.

Critics argue that the sites granted to Parvathi were in localities with higher circle rates, inflating the value of the land compared to the original parcel in Kesaru village.

The issue came into the limelight after Manjunath Swamy, who claims the Kesaru plot is his ancestral property, wrote to the Mysuru Deputy Commissioner. Swamy alleged that his uncle, Devaraj, fraudulently took possession of the land and sold it to Siddaramaiah’s brother-in-law.

Siddaramaiah has defended the transfer, stating that it followed proper legal procedures. He also emphasised that the BJP was in power when his wife received the alternative sites in 2021.

- With inputs from agencies

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