New Delhi, Oct 9: Karnataka Congress MLA B Nagendra is the "mastermind" behind the multi-crore Valmiki Corporation alleged scam and the funds diverted from this state government entity were also used for a candidate who contested the Lok Sabha polls earlier this year, the ED claimed Wednesday.

The federal agency said it has filed a prosecution complaint or charge sheet in this case sometime ago before a special Prevention of Money Laundering Act (PMLA) court in Bengaluru. The court has taken cognisance of the charge sheet, it said.

"B Nagendra, MLA and former Minister for Scheduled Tribal Affairs, has been named as the primary accused and mastermind behind the scam, allegedly orchestrating it with the help of 24 others, including key associates like Satyanarayana Varma, Etakari Satyanarayana, J.G. Padmanabha, Nageshwar Rao, Nekkenti Nagaraj, and Vijay Kumar Gowda," the Enforcement Directorate said in a statement.

Nagendra was arrested by the ED in this case.

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The agency claimed its probe found that "under the influence of B Nagendra, the account of the Corporation (Karnataka Maharshi Valmiki ST Development Corporation) was moved to the MG Road Branch without any proper authorisation, where Rs 187 crore, including Rs. 43.33 crore from the state treasury under the Ganga Kalyana Scheme, were deposited without following proper procedures and in violation of government guidelines.

"These funds were subsequently siphoned off through multiple shell accounts and converted into cash and bullion," the ED alleged.

An amount of Rs 20.19 crore of the "diverted" funds were used to support a candidate contesting the 2024 Lok Sabha election from the Bellary constituency, as well as for the personal expenses of B Nagendra, it added.

The ED said "evidence" of these expenditures was found by it during search operations conducted by it and "corroborated" by financial analysis and statements

"Details of these election expenses were retrieved from the mobile phone of Vijay Kumar Gowda, who handled the cash on Nagendra's instructions," it claimed.

The money laundering case stems from an FIR of the Karnataka Police and the CBI where it was alleged that around Rs 89.62 crore were diverted from the accounts of the Corporation's (Valmiki) accounts into "fake accounts" across Andhra Pradesh and Telangana and later laundered through shell entities.

The alleged irregularities 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.

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.

Additionally, Rs 88.62 crore was illegally deposited into various accounts of some Information Technology (IT) companies and a Hyderabad-based cooperative bank.

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Washington  (PTI): Microsoft has fired two employees who interrupted the company's 50th anniversary celebration to protest its work supplying artificial intelligence technology to the Israeli military, according to a group representing the workers.

Microsoft accused one of the workers in a termination letter Monday of misconduct "designed to gain notoriety and cause maximum disruption to this highly anticipated event.” Microsoft says the other worker had already announced her resignation, but on Monday it ordered her to leave five days early.

The protests began Friday when Microsoft software engineer Ibtihal Aboussad walked up toward a stage where an executive was announcing new product features and a long-term vision for Microsoft's AI ambitions.

“You claim that you care about using AI for good but Microsoft sells AI weapons to the Israeli military," Aboussad shouted at Microsoft AI CEO Mustafa Suleyman. "Fifty-thousand people have died and Microsoft powers this genocide in our region.”

The protest forced Suleyman to pause his talk while it was being livestreamed from Microsoft's campus in Redmond, Washington. Among the participants at the 50th anniversary of Microsoft's founding were co-founder Bill Gates and former CEO Steve Ballmer.

Microsoft said Suleyman calmly tried to de-escalate the situation. “Thank you for your protest, I hear you,” he said. Aboussad continued, shouting that Suleyman and “all of Microsoft” had blood on their hands. She also threw onto the stage a keffiyeh scarf, which has become a symbol of support for Palestinian people, before being escorted out of the event.

A second protester, Microsoft employee Vaniya Agrawal, interrupted a later part of the event.

Aboussad, based at Microsoft's Canadian headquarters in Toronto, was invited on Monday to a call with a human resources representative at which she was told she was being fired immediately, according to the advocacy group No Azure for Apartheid, which has protested the sale of Microsoft’s Azure cloud computing platform to Israel.

An investigation by The Associated Press revealed earlier this year that AI models from Microsoft and OpenAI had been used as part of an Israeli military program to select bombing targets during the recent wars in Gaza and Lebanon. The story also contained details of an errant Israeli airstrike in 2023 that struck a vehicle carrying members of a Lebanese family, killing three young girls and their grandmother.

In its termination letter, Microsoft told Aboussad she could have raised her concerns confidentially to a manager. Instead, it said she made “hostile, unprovoked, and highly inappropriate accusations” against Suleyman and the company and that her “conduct was so aggressive and disruptive that you had to be escorted out of the room by security.”

Agrawal had already given her two weeks notice and was preparing to leave the company on April 11, but on Monday a manager emailed that Microsoft "has decided to make your resignation immediately effective today.”

It was the most public but not the first protest over Microsoft's work with Israel. In February, five Microsoft employees were ejected from a meeting with CEO Satya Nadella for protesting the contracts.

“We provide many avenues for all voices to be heard,” said a statement from the company Friday. “Importantly, we ask that this be done in a way that does not cause a business disruption. If that happens, we ask participants to relocate. We are committed to ensuring our business practices uphold the highest standards.”

Microsoft had declined to say Friday whether it was taking further action, but Aboussad and Agrawal expected it was coming after both lost access to their work accounts shortly after the protest.

Dozens of Google workers were fired last year after internal protests over a contract it also has with the Israeli government. Employee sit-ins at Google offices in New York and Sunnyvale, California targeted a $1.2 billion deal known as Project Nimbus providing AI technology to the Israeli government.

The Google workers later filed a complaint with the National Labor Relations Board in an attempt to get their jobs back.