On Friday, the Enforcement Directorate (ED) announced that it had attached over 140 immovable properties valued at approximately Rs 300 crore in connection with a money laundering case linked to the Mysuru Urban Development Authority (MUDA). This action is part of an investigation into alleged irregularities related to land allotment by MUDA, which involves Karnataka Chief Minister Siddaramaiah and others.

The seized assets are registered under the names of several individuals, including real estate businessmen and agents, as stated by the federal agency. The investigation suggests that Siddaramaiah, a Congress leader, allegedly used his political influence to secure compensation for 14 plots of land in the name of his wife, Smt. BM Parvathi, in exchange for 3 acres and 16 guntas of land that MUDA acquired.

"The land was originally acquired by MUDA for Rs 3,24,700. The compensation in the form of 14 sites at posh locality is worth Rs 56 crore," the agency claimed.

Karnataka Chief Minister Siddaramaiah, who the Karnataka Lokayukta has questioned in connection with this case, has consistently denied involvement in wrongdoing by himself or his family.  He has stated that the opposition is "scared" of him and that these allegations are "politically motivated charges."

According to the agency, the role of former MUDA commissioner D B Natesh has been identified as "instrumental" in the illegal allocation of compensation land to Parvathi. The agency reported that searches conducted during the investigation revealed that, aside from the 14 sites allotted to Parvathi, many sites have been "illegally" allocated by MUDA as compensation to real estate businessmen. These businessmen then sold the sites at a "huge" profit, generating significant amounts of "unaccounted" cash.

It further claimed that the profits generated were "laundered" and falsely presented as income from legitimate sources.

The investigation also uncovered that sites were allotted in the names of "benami and dummy" individuals connected to influential figures and real estate businessmen, per the agency’s allegations.

Incriminating "evidence" was recovered during the raids, allegedly showing the payment of illegal gratification to the then MUDA chairman and Commissioner. This included "immovable property, MUDA sites, cash, etc."

The agency additionally alleged that money was funnelled through a cooperative society to fund the purchase of property, luxury vehicles, and other assets in the names of relatives of G T Dinesh Kumar, who previously held the position of MUDA Commissioner.