Mysuru (Karnataka) Chief Minister Siddaramaiah on Thursday said action will be taken and responsibilities determined in connection with an alleged illegal money transfer scam involving the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation, run by the state, once the Special Investigation Team (SIT) who investigates the case submits its report.
He also rejected the opposition's demand that he resign in connection with the scam.
"Three investigations are being carried out - one by CBI regarding the bank's involvement, second by ED and third by SIT. The SIT is carrying out the investigation, let the investigation report be released " Siddaramaiah told reporters here in response. to a question.Responding to a question about the opposition demanding his resignation, claiming that such a big scam would not have happened without him realizing it, since he is also finance minister, he said, "if that is the case, because of what has happened in the bank in connection with the case, Nirmala Sitharaman (Union Finance Minister) should also resign, so should the Prime Minister. Will an inquiry (resignation) be given, neither the preliminary report nor the "finally, after the submission of the report? charge sheet, the report will come."
When asked if the embezzlement did not come to his knowledge when the money was released from the treasury, Siddaramaiah said: "Every time it does not come to my knowledge. The money will be released by the officials. It will not come to my knowledge." "The investigation has not been completed yet. Without an investigation being completed, how can things be said? You (media) ask things just because the BJP is alleging."
Once the SIT submits the report after an investigation, action will be taken and liability fixed, he said, adding, "Without a report being submitted, how can the liability be fixed?" The ED has been carrying out searches since Wednesday, including at the premises of a former minister in the Siddaramaiah government, B Nagendra, and ruling Congress MLA Basanagouda Daddal, who is Corporation president, official sources said.
The agency covered around 20 locations in Karnataka, Andhra Pradesh, Telangana and Maharashtra as part of the case registered under the Prevention of Money Laundering Act (PMLA), sources said.
Meanwhile, Deputy Chief Minister DK Shivakumar in Bengaluru said searches in the ED were not necessary as the SIT has already conducted searches and recovered certain money. "The CBI has the provision that in case there are irregularities above of a certain amount, they can investigate them. There was no need for ED (to get involved). No one had filed any complaints with ED... there is a system that they cannot adopt just because someone says something," he said.
The government itself had handed over the investigation to the SIT. They are conducting investigations and have issued notices to some people in connection with a case, Shivakumar said.
Nagendra, who was a minister, voluntarily resigned to allow a free and fair investigation. "We have questioned him, he explained to us, he has not signed any part and is not involved. According to the law, the investigation was underway, but in the meantime the Emergency Department has carried out searches now, let's see," he said. .When asked if the searches in the ED are politically motivated, the deputy chief minister said: "Let them (searches) end, we will talk later."
The issue of illegal money transfers, involving the Corporation, came to the fore after its superintendent of accounts, Chandrasekharan P., committed suicide on May 26.
He left a note claiming unauthorized transfer of Rs 187 million belonging to the Corporation from his bank account; From there, Rs 88.62 crore was illegally transferred to various accounts purportedly belonging to "known" IT companies and a Hyderabad-based cooperative bank, among others. Chandrasekharan named the now-suspended CEO of the Corporation, J. G. Padmanabh, Accounts Officer, Parashuram G. Durugannavar, and Union Bank of India Chief Manager Suchismita Rawal, while stating that the "Minister" had issued oral orders to transfer the funds.
Following allegations against him in connection with the scam, Nagendra, who was the Scheduled Tribes Welfare Minister, tendered his resignation on June 6.
The state government has constituted an SIT headed by Manish Kharbikar, Additional Director General of Police, Economic Crimes, in the Criminal Investigation Department (CID), to carry out the investigation. The SIT questioned Nagendra and Daddal on Tuesday in connection with the case.
Mumbai-based Union Bank of India also filed a complaint with the CBI in connection with misappropriation of money belonging to the corporation in connection with its MG Road branch, following which the premier investigating agency launched a probe.
He also rejected the opposition's demand that he resign in connection with the scam.
"Three investigations are being carried out - one by CBI regarding the bank's involvement, second by ED and third by SIT. The SIT is carrying out the investigation, let the investigation report be released " Siddaramaiah told reporters here in response. to a question.Responding to a question about the opposition demanding his resignation, claiming that such a big scam would not have happened without him realizing it, since he is also finance minister, he said, "if that is the case, because of what has happened in the bank in connection with the case, Nirmala Sitharaman (Union Finance Minister) should also resign, so should the Prime Minister. Will an inquiry (resignation) be given, neither the preliminary report nor the "finally, after the submission of the report? charge sheet, the report will come."
When asked if the embezzlement did not come to his knowledge when the money was released from the treasury, Siddaramaiah said: "Every time it does not come to my knowledge. The money will be released by the officials. It will not come to my knowledge." "The investigation has not been completed yet. Without an investigation being completed, how can things be said? You (media) ask things just because the BJP is alleging."
Once the SIT submits the report after an investigation, action will be taken and liability fixed, he said, adding, "Without a report being submitted, how can the liability be fixed?" The ED has been carrying out searches since Wednesday, including at the premises of a former minister in the Siddaramaiah government, B Nagendra, and ruling Congress MLA Basanagouda Daddal, who is Corporation president, official sources said.
The agency covered around 20 locations in Karnataka, Andhra Pradesh, Telangana and Maharashtra as part of the case registered under the Prevention of Money Laundering Act (PMLA), sources said.
Meanwhile, Deputy Chief Minister DK Shivakumar in Bengaluru said searches in the ED were not necessary as the SIT has already conducted searches and recovered certain money. "The CBI has the provision that in case there are irregularities above of a certain amount, they can investigate them. There was no need for ED (to get involved). No one had filed any complaints with ED... there is a system that they cannot adopt just because someone says something," he said.
The government itself had handed over the investigation to the SIT. They are conducting investigations and have issued notices to some people in connection with a case, Shivakumar said.
Nagendra, who was a minister, voluntarily resigned to allow a free and fair investigation. "We have questioned him, he explained to us, he has not signed any part and is not involved. According to the law, the investigation was underway, but in the meantime the Emergency Department has carried out searches now, let's see," he said. .When asked if the searches in the ED are politically motivated, the deputy chief minister said: "Let them (searches) end, we will talk later."
The issue of illegal money transfers, involving the Corporation, came to the fore after its superintendent of accounts, Chandrasekharan P., committed suicide on May 26.
He left a note claiming unauthorized transfer of Rs 187 million belonging to the Corporation from his bank account; From there, Rs 88.62 crore was illegally transferred to various accounts purportedly belonging to "known" IT companies and a Hyderabad-based cooperative bank, among others. Chandrasekharan named the now-suspended CEO of the Corporation, J. G. Padmanabh, Accounts Officer, Parashuram G. Durugannavar, and Union Bank of India Chief Manager Suchismita Rawal, while stating that the "Minister" had issued oral orders to transfer the funds.
Following allegations against him in connection with the scam, Nagendra, who was the Scheduled Tribes Welfare Minister, tendered his resignation on June 6.
The state government has constituted an SIT headed by Manish Kharbikar, Additional Director General of Police, Economic Crimes, in the Criminal Investigation Department (CID), to carry out the investigation. The SIT questioned Nagendra and Daddal on Tuesday in connection with the case.
Mumbai-based Union Bank of India also filed a complaint with the CBI in connection with misappropriation of money belonging to the corporation in connection with its MG Road branch, following which the premier investigating agency launched a probe.
