Karnataka Minister Nagendra Resigns Amid ₹87 cr Fraud Scandal

Bengaluru: Minister for Scheduled Tribes Welfare and Sports B. Nagendra on Thursday tendered his resignation voluntarily to Chief Minister Siddaramaiah over the alleged fraudulent transactions in the accounts of Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Limited, a Government of Karnataka undertaking, falling under the Ministry of ST Welfare.

At the CM’s residence in Bengaluru city, Nagendra asked Siddaramaiah to accept his resignation and declined to comment on his resignation when he was intercepted by the reporters.

The accounts of Valmiki Scheduled Tribes Development Corporation is in the Union Bank of India, M.G. road, branch of Bengaluru. It has been alleged that fraudulent transactions to a tune of Rs 87-crore in the accounts of the Valmiki Corporation led to filing a complaint with the Central Bureau of Investigation by the Union Bank of India.

The ruling Congress party formed a Special Investigation Team to investigate the allegations of fraudulent transactions in the Valmiki Corporation.

After the alleged fraudulent transactions surfaced, Nagendra was under pressure to resign and he denied to resign saying that he had no role in the fraudulent transactions. It is said that Minister for Home Dr G Parameshwar and Deputy Chief Minister D.K. Shivakumar held discussion with Nagendra prior to his resignation. At the meeting, it is said that Nagendra decided to offer his resignation.

D.K. Shivakumar stated that Nagendra had no role in the fraudulent transactions of Valmiki Corporation but resigned on his own to uphold the dignity of the party and the State Government.

Earlier in the day, the Bharatiya Janata Party (BJP) leaders led by its State Unit president B.Y. Vijayendra met Governor Thaawarchand Gehklot and urged him to direct Chief Minister Siddaramaiah to seek the resignation of Minister B. Nagendra and termed the alleged fraudulent transaction the biggest scam in the State’s history.

Vijayendra said transactions cannot go without the knowledge of Chief Minister Siddaramaiah and also the Finance department.