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ED pressurised me to frame Karnataka CM, his deputy in Valmiki scam: Congress MLA Nagendra
Nagendra charged the ED with arresting him under pressure from the BJP as part of a conspiracy to destabilise the Congress government.
Former Karnataka minister and Congress MLA B Nagendra, who walked out of jail on Wednesday, alleged that the Enforcement Directorate (ED) pressured him to implicate chief minister Siddaramaiah and deputy CM DK Shivakumar in a multi-crore scam involving the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation. Nagendra, who was arrested by the ED in connection with the scam, claimed the central agency acted under pressure from the Bharatiya Janata Party (BJP) as part of a conspiracy to destabilise the Congress-led government in the state.
Speaking to reporters after being granted bail by a special court, Nagendra said, "For three months, I was harassed by the ED with the intention to destabilise our government. Despite having no role in the Valmiki scam, I was suddenly arrested. Under pressure from the BJP's central leadership, the ED attempted to disrupt the state government by arresting me."
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The former minister claimed he was specifically asked to name Siddaramaiah and Shivakumar in connection with the scam but refused.
"I rejected it, saying that when I have no role, where is their role? There is no connection between the government and the scam, which is related to the bank," he said, alleging the BJP both at the state and central levels conspired to falsely link the Congress leadership to the scandal.
Nagendra, who had resigned as Scheduled Tribes Welfare Minister in June following allegations of his involvement, said that the scam involved the misappropriation of funds by bank officials.
"This is not a state government scam; it is a bank scam. Neither the chief minister nor I as the concerned minister was aware of it. Unnecessarily, ED is trying to link his (CM) name to it," he said.
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What ED has alleged
The ED has named Nagendra as the main accused in the scam. The agency alleges that ₹187 crore, including ₹43.33 crore from the State Treasury under the 'Ganga Kalyana Scheme', was improperly transferred to a bank without authorisation and siphoned off through shell accounts, some of which were allegedly used for personal expenses and to fund a political candidate in the 2024 Lok Sabha elections.
Nagendra, who was arrested in July under the Prevention of Money Laundering Act (PMLA), said he has "faith in the judiciary," adding, “That's why I got bail today.”
