Why D K Shivakumar Is Smiling: Four Days And Two Chief Ministers Later, Bengaluru Back In The Grip Of Real Estate Lobby
At the end of four days, and two chief ministers later, it is D K Shivakumar and his friends in the trade who can claim to have gained the most.
Siddaramaiah is out. And now, so is BS Yeddyurappa. But guess who’s in?
While H D Kumaraswamy is very likely to be the next chief minister of Karnataka, the man whose stature has grown most within Congress ranks over the last four days is D K Shivakumar.
Shivakumar belongs to the real estate lobby of Bengaluru, and is likely to get more prominence now in a JD(S)-Congress government than he got in the previous regime. And with him, the grip of Bengaluru real estate lobby over Karnataka politics is set to continue. This is a lobby that has grown strong over the past 15 years following the decline of the liquor lobby in the state.
The real estate lobby, which plays a powerful role in Bengaluru Urban and Bengaluru Rural, made its entry into the political space in three phases. In the late 1990s, when real estate prices in Bengaluru began to skyrocket, a good number of those involved in the sector started backing political parties. The second phase saw them contest elections and, in the final stages, become ministers. The fact is that this lobby cannot be ignored in Bengaluru Urban and Bengaluru Rural, which make up 28 assembly constituencies.
When we speak about the real estate lobby and politics, some of the names that come to mind are D K Shivakumar, the Energy Minister in the previous Congress government, and K J George, former Bengaluru Development Minister. The other names include real estate baron Krishnappa, a two-time Member of Legislative Assembly (MLA) from Vijaynagar, who was sworn in as a minister in the previous Siddaramaiah government. His son Priya Krishna, who is also into real estate, made headlines when he declared assets worth Rs 770 crore in 2008. By 2013, the assets declared by him had shot up to Rs 910.99 crore. He remains the richest candidate today. In 2018, the assets declared by him stood at Rs 1,020 crore.
The Power of Land
When it comes to Shivakumar, there is no ignoring him. An aspirant to the post of chief minister, he has been the go-to man for the Congress. Contesting from the Kanakapura constituency, where land prices have shot up – thanks to its proximity to Bengaluru, Shivakumar was recently assigned the task of protecting Gujarat MLAs from possible poaching ahead of the Rajya Sabha polls.
Shivakumar, recently raided by the Income Tax Department, was one of the richest candidates in 2013 too, with assets worth Rs 251 crore. Some of the top real estate firms of Bengaluru were shown in his election affidavit as having loaned him money. Back in 2008, his assets were valued at Rs 75 crore. However, in 2018, his asset value shot up to Rs 840 crore. His movable assets are worth Rs 70 crore, while the immovable assets declared come up to Rs 500 crore. The remaining has been shown in the names of his wife and three dependents. Most of the increase has been attributed to an increase in market value in land holdings.
Shivakumar, who has been accused of corruption, continues to enjoy a top slot in the Congress. He had been given powerful portfolios and, owing to his clout, the party has found it next to impossible to drop him. In fact this year, he was the campaign committee chairman.
The other big name in the list is K J George. Over the past five years, he has been a controversial figure, with his name featuring in the suicide case relating to Deputy Superintendent of Police Ganapathy. He was also criticised over the steel bridge flyover proposal, which threatened to eat into the green cover of Bengaluru. During his stint as the home minister of Karnataka, he has faced criticism several times, but his close association with the Chief Minister has always saved him. He is said to have huge investments in real estate firms and is said to own large tracts of land in Bengaluru. In fact, he is the only real match to Shivakumar in terms of party funding. Despite criticism from all quarters, he was given the important Bengaluru development portfolio after he was dropped as the home minister.
So, at the end of four days, and two chief ministers later, it is D K Shivakumar and his friends in the trade who can claim to have gained the most.
A different version of this piece was earlier published as Real Estate Lobby Calls The Shots In Karnataka Politics.