Law Notify : A special court in Bengaluru on Wednesday accepted the closure report filed by the Karnataka Lokayukta Police in the Mysuru Urban Development Authority (MUDA) land allotment case involving Chief Minister Siddaramaiah, his wife B M Parvathi, her brother Mallikarjuna Swamy, and landowner J Devaraj.
The order was passed in open court by Special Judge for cases involving MPs and MLAs, Santosh Gajanan Bhat. After examining the material on record, the court held that no prima facie case of corruption or criminal misconduct was made out against the four individuals named in the report.
Accepting the ‘B report’ submitted under Section 173 of the Code of Criminal Procedure, 1973, the court observed that the evidence collected during the investigation was insufficient to sustain charges under the Prevention of Corruption Act, 1988, or related provisions of the Indian Penal Code.
The court clarified that acceptance of the closure report was limited to these accused and would not affect the ongoing investigation against other persons allegedly involved in the wider MUDA land allotment controversy. The investigating officer was directed to complete the probe against the remaining accused and file a final report in accordance with law.
The special court also rejected an application filed by the complainant seeking initiation of contempt proceedings against the investigating officer, noting that there was no material to indicate wilful disobedience of court directions or interference with the administration of justice.
On the role of the Enforcement Directorate, the court observed that the agency could participate in the proceedings only as an affected party, and that its involvement would be governed strictly by the statutory framework applicable to money laundering investigations. The observation was in line with settled legal principles restricting parallel agency intervention in predicate offence proceedings unless specifically authorised by law.
The case arose from allegations that Siddaramaiah, while holding public office, misused his position to facilitate irregular allotment of compensatory sites in favour of his wife, allegedly in deviation from prescribed land acquisition and rehabilitation norms. The complaint was filed by activist Snehamayi Krishnan, who alleged procedural violations by the urban development authority.
In September 2024, the Karnataka Governor had granted sanction for prosecution under Article 163 read with relevant provisions of the Prevention of Corruption Act, following which the special court ordered registration of an FIR against Siddaramaiah and others. The offences cited included criminal misconduct by a public servant, conspiracy, and abuse of official position.
After investigation, the Lokayukta Police submitted the closure report in February 2025, concluding that the essential ingredients to establish criminal liability were not made out against the four accused. The report had earlier been kept pending due to scrutiny of alleged systemic irregularities in MUDA allotments involving other beneficiaries.
With the closure report accepted, the court directed its registry to return the compact disc files and the draft final report kept in sealed cover to the investigating officer, after due verification. The matter has been listed for February 9, when the final report relating to the remaining accused is expected to be placed before the court.
