Karnataka: ED Attaches Rs 100 Crore Worth Of Properties In Expanding MUDA Land Scam Probe

The Enforcement Directorate (ED), Bangalore Zonal Office, has provisionally attached 92 immovable Mysore Urban Development Authority (MUDA) properties with an estimated market value of Rs 100 crore under the Prevention of Money Laundering Act (PMLA), 2002.

The move is part of the ongoing probe into the alleged irregularities in site allotments by MUDA.

According to an official statement, the attached properties include MUDA sites registered in the names of housing cooperative societies and individuals acting as proxies for influential figures, including senior MUDA officials.

The ED’s investigation stems from a First Information Report (FIR) filed by the Lokayuktha Police, Mysore, against various individuals including Karnataka Chief Minister Siddaramaiah, under the Indian Penal Code (IPC) and the Prevention of Corruption Act, 1988.

The agency uncovered what it described as a “large-scale scam” involving the fraudulent allotment of MUDA sites in violation of statutes and government guidelines.

The role of former MUDA commissioners, notably GT Dinesh Kumar, has come under scrutiny for allegedly facilitating the illegal allocation of compensation plots to ineligible recipients.

“The gratification received for making these illegal allotments was routed through a co-operative society and bank accounts of the relatives/associates of the officers playing a key role in the allotment process,” the ED stated.

It further noted that proceeds from these transactions were used to acquire some of the same MUDA sites through front names linked to officials’ relatives.

The method reportedly involved the use of fake or incomplete documentation, violation of official orders, and backdated allotment letters to legitimise the transactions.

This latest action follows the previous provisional attachment of 160 MUDA sites valued at Rs 300 crore. With the current development, the total value of assets attached under the investigation has reached Rs 400 crore.

The ED confirmed that the investigation remains ongoing.

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