MUDA scam probe revived: Lokayukta reopens 134 cases, issues notices to beneficiaries

Mysuru: The controversial Mysuru Urban Development Authority (MUDA) 50:50 site allotment scam has resurfaced once again with the Lokayukta reviving investigations into a large number of cases.

The fresh development has created panic among site sellers, middlemen and those who allegedly benefited from the illegal allotments. According to sources, the Lokayukta has reopened investigation into as many as 134 cases related to the MUDA land scam.

Notices have already been issued to more than 40 people who had received sites under the controversial allotment process, asking them to appear for questioning and submit relevant documents.

The scam pertains to the alleged illegal allotment of 1,055 residential sites under the 50:50 scheme, which was meant to compensate land losers. It is alleged that large-scale irregularities took place in the process and that sites were allotted to ineligible persons in violation of rules and procedures.

The scam is said to have caused financial losses running into thousands of crores of rupees to the state exchequer. The Lokayukta is now examining whether there was abuse of power, manipulation of records and violation of legal norms in the allotment process.

Officials are verifying documents, beneficiary details and the role played by MUDA authorities during the period in question. As part of the renewed probe, Lokayukta officials have issued summons to several former MUDA officers, including ex-commissioners Dinesh and Natesh, and a number of other officials who were directly or indirectly involved in the allotment process.

They have been instructed to appear before the investigating officers and provide explanations regarding their role in the alleged irregularities. Lokayukta Police Superintendent Udesh has reportedly directed all accused persons and beneficiaries to fully cooperate with the investigation.

“Those who have received notices must submit all necessary documents and clarifications without delay. Failure to do so will invite strict legal action,” an official source said. The reopening of the cases comes at a time when the MUDA scam has already created major political and administrative controversy in Karnataka.

Earlier, a local court had accepted the ‘B’ report submitted by the Lokayukta in a related case, giving temporary relief to Chief Minister Siddaramaiah and his family members. However, the fresh investigation into 134 other cases indicates that the larger scam probe is far from over.

Legal experts believe that the renewed investigation could bring several influential names under the scanner. Many beneficiaries who purchased or received sites through questionable means are now worried that they may face legal trouble.

The MUDA 50:50 scheme was originally introduced to compensate landowners whose properties were acquired for development projects. But allegations soon surfaced that the scheme was misused to favour politicians, businessmen and influential individuals.

With the Lokayukta intensifying its probe, more notices and interrogations are expected in the coming days. The investigation is likely to expose deeper layers of corruption and irregularities in one of the biggest urban land scams in Karnataka’s recent history.

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