Karnataka Valmiki money transfer ‘scam’: ED raids ‘unwarranted’, says D K Shivakumar

Karnataka Deputy CM criticises ED raids in the Valmiki Development Corporation case and calls them unjustified. The raids were linked to a former Minister and MLA for misappropriating funds at multiple locations

Livemint
First Published11 Jul 2024, 07:18 AM IST
Valmiki money transfer scam:  According to Karnataka Deputy Chief Minister DK Shivakumar, the Enforcement Directorate's intervention was unnecessary.
Valmiki money transfer scam: According to Karnataka Deputy Chief Minister DK Shivakumar, the Enforcement Directorate’s intervention was unnecessary.(PTI)

On Wednesday, Karnataka Deputy Chief Minister D K Shivakumar criticised the Enforcement Directorate's raids in the Valmiki Development Corporation case, calling them unjustified.

The raids, allegedly linked to former Karnataka Minister B Nagendra and MLA Basanagouda Daddal for misappropriating funds, took place at multiple locations.

The raids were carried out in Bengaluru, Raichur, and Ballari, and they focused on an unauthorized transfer of 187 crore from the bank accounts of the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation.

According to official sources, 88.62 crore was allegedly illicitly credited to accounts associated with IT companies and a cooperative bank based in Hyderabad.

Speaking at the Nonavinakere Kadasiddeshwara mutt in the district, Shivakumar told reporters, "The state government's SIT is already probing the matter; there was no necessity for ED raids."

He emphasised that the banks can investigate such cases involving substantial sums of money. According to Shivakumar, the Enforcement Directorate's intervention was unnecessary.

 

Also Read | ’Lok Sabha election result is a warning bell for us’, says DK Shivakumar
Also Read | Complaint against Karnataka CM Siddaramaiah, 9 others for fake documents

Karnataka Valmiki money transfer scam

The illegal money transfer issue involving the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd came to light following the tragic suicide of its accounts superintendent, Chandrashekhar P, on May 26. In a note left behind, Chandrashekhar revealed the unauthorized transfer of 187 crore from the corporation's bank account. Notably, 88.62 crore of this amount was allegedly illicitly transferred to accounts linked to "well-known" IT companies and a cooperative bank based in Hyderabad. The corporation operates under the administrative control of Nagendra's department.

The state government has formed a Special Investigation Team (SIT) led by Manish Kharbikar, Additional Director General of Police for Economic Offences at the Criminal Investigation Department (CID), to investigate the matter.

Additionally, Union Bank of India, headquartered in Mumbai, lodged a complaint with the CBI regarding misappropriating funds from the corporation's MG Road branch. In response, the premier investigation agency launched an inquiry into the case.

-With agency inputs

 

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess
First Published:11 Jul 2024, 07:18 AM IST
HomeNewsIndiaKarnataka Valmiki money transfer ‘scam’: ED raids ‘unwarranted’, says D K Shivakumar

Most Active Stocks

Indian Oil Corporation

174.50
03:59 PM | 11 JUL 2024
2.55 (1.48%)

Tata Steel

169.00
03:58 PM | 11 JUL 2024
1 (0.6%)

Bharat Petroleum Corporation

306.60
03:59 PM | 11 JUL 2024
6.25 (2.08%)

Oil & Natural Gas Corporation

304.80
03:57 PM | 11 JUL 2024
6.75 (2.26%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Gujarat Pipavav Port

236.60
03:58 PM | 11 JUL 2024
16.85 (7.67%)

Oil India

551.45
03:58 PM | 11 JUL 2024
38.7 (7.55%)

Mazagon Dock Shipbuilders

5,739.10
03:55 PM | 11 JUL 2024
383.7 (7.16%)

Great Eastern Shipping Company

1,455.65
03:58 PM | 11 JUL 2024
93.9 (6.9%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    73,705.000.00
    Chennai
    74,722.000.00
    Delhi
    73,705.000.00
    Kolkata
    74,722.000.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    102.86/L0.00
    Chennai
    100.75/L0.00
    Kolkata
    104.95/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanMint Shorts