Special court grants bail to former Karnataka Minister Nagendra in Valmiki corporation case

He was arrested by the Enforcement Directorate in July

A Special Court in Bengaluru on Monday (October 14, 2024) granted bail to former Minister and Congress MLA B. Nagendra in the case of “multi-crore scam” involving funds of Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd.

As per the gist of operative portion of the order released by the Special Court of Sessions for criminal cases against former and present MLAs and MPs, Mr. Nagendra has been directed to execute a personal bond for ₹2 lakh with two sureties for the like sum to the satisfaction of the court.

Meanwhile, the Court has directed him not threaten and tamper the prosecution witnesses or the complainant and victim; not evade the investigation and to appear before the investigation officer whenever called for investigation.

To furnish passport

He has also been directed to furnish his passport to the Court and not leave Karnataka without obtaining written permission from the court; not in any manner interfere with the investigation or tamper the evidence directly or indirectly; and not to indulge in similar offence.

The Enforcement Directorate (ED) had taken up the investigation against him after the State police registered First Information Report (FIR) in respect of misappropriation of funds of the Valmiki corporation.

Mr. Nagendra, who was then serving as Minister for Scheduled Tribes Welfare in the Siddaramaiah-led Congress government, was arrested by the ED on July 12 and he has been named as prime accused along with 14 others. The ED, in its charge sheet, had named him as “mastermind” of the scam.

The charge sheet filed by the State police on Valmiki Corporation scam does not include Mr. Nagendra in the list of accused named so far in their investigation report.

What ED stated

The ED had stated that under the influence of Mr. Nagendra, the account of the corporation was moved to the M.G. Road branch without any proper authorisation, where ₹187 crore, including ₹ 43.33 crore from the State treasury under the Ganga Kalyana Scheme, was deposited without following proper procedures and in violation of government guidelines.

These funds were allegedly siphoned off through shell accounts and converted into cash and bullion, the ED had said while alleging that ₹20.19 crore of the diverted funds were used to support a candidate in the 2024 Lok Sabha elections from the Ballari constituency and to cover Mr. Nagendra’s personal expenses.

Published - October 14, 2024 08:48 pm IST