Siddaramaiah suspends 2 senior officers raided by Income Tax department

Belagavi: In a face saving exercise, the state government on Friday announced the suspension of two senior officers, T.N. Chikkarayappa and S.C. Jayachandra, who were raided by the Income Tax department and were found in possession of crores of rupees in unaccounted money, including Rs 4.7 crore in the new Rs 2,000 denomination notes.

While Mr Chikkarayappa is managing director, Cauvery Niravari Nigam Ltd, Mr Jayachandra is chief project officer, state highway development projects.

Home Minister, Dr G. Parameshwar made the announcement in the Legislative Council after BJP and JD(S) members trooped into the well of the House demanding the immediate suspension of the two officers, who they alleged were close associates of Chief Minister Siddaramaiah and Public Works Department Minister, Dr H. C. Mahadevappa.

“I spoke to the CM and the Chief Secretary and Siddaramaiah has given his permission to suspend both officers pending inquiry," the minister said, declaring that the government would not shield any officer and the law would be allowed to take its own course.

Acknowledging that the two officers were accused of corrupt practices, he said the truth would come out after a detailed inquiry. " I assure members that the government will not protect the two at any cost and they will be punished for their acts. We will take further action based on the report we have asked for from the Income Tax department," he added.

The minister said the I-T sleuths were believed to have seized high- end cars, gold biscuits and ornaments besides the crores in the new Rs 2000 denomination notes from the house of Mr Chikkarayappa.

“According to my information, the raid is still going on and the sleuths are yet to calculate the total property seized from the two officers,” he told the House, adding, "I don't know whether they are close to Mr Siddaramaiah or Dr Mahadevappa, but both are government employees and will get close to the ministers in power.”

Urging the Union government and the RBI to find out how banks could give so much of the new currency to one individual when people were standing in serpentine queues before ATMs to draw just '2000, he said, “It is astonishing how the officer managed to get so much of the new currency notes when the Reserve Bank of India has fixed the withdrawal limit at '2,000 a day. The incident is bound to tarnish the image of the administrative machinery.”

The matter was raised in the Council soon after the House met for the day by leader of the opposition, K.S. Eshwarappa, who came down hard on the government for denying the Lokayukta permission to hold an inquiry against the two officers.

Suspended officer close to CM?
Though the CM refused to acknowledge his proximity with T.N. Chikkarayappa, the suspended MD of Cauvery Niravari Nigam, the secretariat is buzzing with information about the officer’s close contacts with Mr Siddaramaiah. Mr Chikkarayappa faced chargers of corruption in majority of the departments he was posted in.

Who told you that? asks Siddaramaiah
“Who told you that?” was CM Siddaramaiah’s retort when asked about the proximity of T.N. Chikkarayappa, Managing Director of Cauvery Neeravari Nigam Limited, who is placed under suspension. While maintaining that he had not read media reports about the raid, the CM said “You cannot say officers are close to elected representatives.”

The officials with crores had past full of scams
Although Chief Minister Siddaramaiah refuses to acknowledge his proximity to T N Chikkarayappa, the suspended managing director of Kaveri Niravari Nigam, the officer is widely seen as his Man Friday and is no stranger to charges of corruption.

In 2010 he was accused of involvement in a Rs 3300 crore BBMP tender scam and also faced corruption charges while working in the Bangalore Development Authority. Inquiries are pending against him with the Lokayukta and BMTF as well.

From the Kuruba community that the Chief Minister belongs to, he was made secretary, Public Works Department despite strong opposition from various sections on September 2, 2013, six months after Mr Siddaramaiah assumed office and worked there for over two years before he was posted as managing director, Kaveri Niravari Nigam Limited.

But he began his career as Assistant Engineer (PWD), Kolar Zilla Panchayat, Kolar Division in 1987-88 and remained there until 1992. Subsequently, he appeared for the KPSC examination and was appointed as AEE (probationary) and was later posted as AEE, Mysore Zilla Panchayat. In 1996-97 he was promoted as EE and worked in the Panchayat Engineering division and then went on to join the Bangalore Development Authority. In 2000, he was promoted as Superintending Engineer and posted to Hemavathy Circle, Tumkur. A few years later he was promoted as Chief Engineer and posted in the Minor Irrigation (South) department, Bengaluru. He was also with Karnataka State Healh System Development Programme.

Other charges:

• Helping a private developer grab around 20 feet of land to construct flats on Bannerghatta Road.
• Embezzling Rs 19 crore in a social forestry scheme during the S M Krishna government. The case is still pending before the Lokayukta
• Creating bogus documents of pre-qualification tender and bank guarantee during his stint as member-engineer, BDA.
• Violating the Karnataka Transparency Act by passing a single tender for construction of flats for the economically weaker sections.

Ayukta raided Jayachandra
Hailing from Mandya district, he was AE, Nelamangala Zilla Panchayat in 1986-87 before becoming AEE, ZP, Nelamangala sub-division. He later became technical assistant of Hemavathy Sub-Division Yeddiyur and in 2006-07 was made Chief engineer in the Hemavathy Canal Division, Tumakuru. During the JD(S)-BJP coalition government, he worked as CE, Minor Irrigation (South), Bengaluru and also in the BBMP. In 2008 he was raided by the Lokayukta, which sought the government’s permission to prosecute him. While the matter was still pending before the government, he was made managing director, Karnataka State Construction Corporation Limited.