Valmiki Corp. funds used to purchase liquor before general elections: ED
New Delhi, Jul 17: The Enforcement Directorate on Wednesday alleged that a "substantial" amount of funds "misappropriated" from the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Limited were used to procure liquor during the recently-concluded Lok Sabha elections apart from some highly-priced vehicles.
The federal probe agency that has arrested sitting Congress MLA and former cabinet minister of the state B Nagendra in this case recently issued a statement alleging the associates connected to the legislator were "implicated in fund diversion and cash management."
Nagendra, a former minister of Tribal Welfare and Sports, was arrested by the ED last week after it conducted raids against him and another Congress MLA from Raichur rural seat Basanagouda Daddal in Bengaluru.
The former minister is in ED custody till July 18.
Probe found, the agency claimed, that "about Rs 90 crore were diverted to 18 fake accounts in Andhra Pradesh and Telangana (from the funds of the Valmiki corporation). The diverted funds were then layered through fake and shell accounts, with cash and bullion dispersed among the accused.
"B Nagendra, the former minister, also resigned following the exposure of the scam," the ED said.
It added that "a substantial amount of funds were utilised to procure a significant quantity of liquor just prior to the general elections.
"Additionally, high-end vehicles, including a Lamborghini, were purchased using proceeds from the scam," it said.
The general elections were held during April-May and the results were declared on June 4.
During the searches at the premises of Nagendra and Daddal (Corporation's Chairman), ED recovered "incriminating documents linking them to the handling of diverted funds during recent general elections."
"Additionally, associates closely connected to B Nagendra were implicated in fund diversion and cash management," it said.
The agency said some "incriminating" evidence related to the handling of these illicit funds was also discovered at the residence of Daddal.
The alleged scam came to fore after accounts superintendent of the Corporation, Chandrasekharan P was found dead on May 21. He wrote a suicide note alleging illegal transfer of money from the Corporation to various bank accounts.
Subsequently two officials were suspended. With mounting pressure minister Nagendra resigned on May 29.
The Congress government thereafter constituted a Special Investigation Team (SIT), which has so far arrested 11 people in connection with the case.
In the suicide note, Chandrasekharan alleged that there was an unauthorised transfer of Rs 187 crore belonging to the state-run Corporation from its bank account.
Further, Rs 88.62 crore was illegally deposited into various accounts of some IT companies and a Hyderabad-based cooperative bank.
While the state government has constituted the SIT to investigate it, the Central Bureau of Investigation is also probing it simultaneously based on a complaint by the Union Bank of India.
The agency questioned Nagendra's wife Manjula on Wednesday as part of this investigation.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
AIITA welcomes Karnataka’s ban on obscene songs in school events
Bhatkal: The Karnataka unit of the All India Ideal Teachers Association (AIITA) has welcomed the Karnataka government’s decision to strictly ban school children from dancing to obscene songs during educational and cultural programmes in government, aided, and private schools across the state.
AIITA Karnataka State President M. R. Manvi congratulated the government for taking what he termed an important step to preserve the sanctity of education.
“Such decisions to safeguard the dignity of school children and uphold the values of education are the need of the hour. This rule should not be limited to government schools alone but must be strictly implemented in all private educational institutions as well,” he said.
He further urged the government to address other concerns within school programmes.
“The government should not only prohibit obscene dances in the name of school anniversaries, but also ensure that plays and dialogues that incite religious hatred are avoided. Schools should be centres of harmony, not platforms for spreading hatred,” he added.
According to a recent circular issued by the Department of School Education and Literacy, obscene dances are adversely affecting the mental health and moral values of students.
In this regard, schools have been advised to use songs that promote nationalism, positive thinking, the greatness of Kannada culture, and value-based traditions instead of inappropriate content during programmes.
The circular also emphasises that students should be dressed in decent attire.
AIITA also backed the department’s warning that disciplinary action would be taken against head teachers if such guidelines are violated. The association has further demanded that district Deputy Directors of Public Instruction strictly monitor the implementation of these rules.
