MUDA Scam: Karnataka CM Reacts to HC Stay On ED Notice To Wife, Says Case Politically Motivated

Karnataka Chief Minister Siddaramaiah on January 28 reacted to the High Court’s recent stay on the ED notice issued to his wife in connection with the MUDA land allotment scam and said that the case is politically motivated. In a video released by news agency PTI, Siddaramaiah said: "They had issued summons, but there is a stay order by the court on that. There is ongoing discussion in the court regarding whether the case should be transferred to the CBI. Why is the ED in a hurry? The entire case is politically motivated."

He further highlighted that the judge had questioned the ED about their urgency in issuing the summons despite the investigation and arguments still being underway in court. Siddaramaiah emphasized that the entire case is politically motivated.

The reaction comes a day after ED issued notices to Siddaramaiah’s wife BM Parvathi and Urban Development Minister Byrathi Suresh, in connection with its investigation into the MUDA scam.

What Is The Scam?

The MUDA scam came to the limelight in June 2024, with RTI activists alleging the involvement of politicians and their relatives, including CM's wife Parvathi and his brother BM Mallikarjunaswamy in the case. M Siddaramaiah's family has been accused of illegally obtaining 14 sites at a prime locality in Mysuru as compensation from the Muda over the alleged illegal encroachment of 3.16 acres of land by the local development authority.

The MUDA had allotted plots to his wife Parvathi under a 50:50 ratio scheme in lieu of her land, where MUDA developed a residential layout.

Under the controversial scheme, MUDA allotted 50 percent of developed land to the land losers instead of undeveloped land acquired from them for forming residential layouts.