The Karnataka government on Friday decided to constitute a Special Investigation Team (SIT) to probe corruption charges levelled by the state’s contractors’ association against the previous BJP government, law and parliamentary affairs minister HK Patil told reporters, following a cabinet meeting chaired by chief minister Siddaramaiah.
The decision comes after a judicial inquiry commission headed by retired judge HN Nagamohan Das submitted its findings, revealing irregularities in thousands of government-awarded projects.
“The SIT will consist of experts as required and will be directed to submit its report within two months,” Patil said.
The judicial commission, which scrutinised a sample of 1,729 out of nearly 3 lakh government works, reported discrepancies such as execution of works beyond sanctioned budgets, payments made despite minimal fund allocation, and procedural lapses in tendering. “The commission has given detailed inputs... Some works were taken up even when only a small grant was released, and in some cases, more than the sanctioned amount was paid. There were also instances where tenders were interfered with by outsiders,” Patil noted.
The SIT is expected to examine these findings further, and departments cited for not providing complete data have been directed to fully cooperate. “The departments identified by the commission as having incomplete data will be required to provide all necessary information to the SIT,” he said.
{{/usCountry}}The SIT is expected to examine these findings further, and departments cited for not providing complete data have been directed to fully cooperate. “The departments identified by the commission as having incomplete data will be required to provide all necessary information to the SIT,” he said.
{{/usCountry}}Asked whether the infamous “40% commission” allegation found mention in the judicial report, Patil said, “The commission has indeed noted the existence of bribes in the process of awarding contracts.”
The cabinet decision follows renewed allegations by the Karnataka State Contractors’ Association (KSCA), which earlier this week accused senior ministers’ relatives and middlemen of manipulating bill clearances and contract allocations. KSCA president R Manjunath alleged that corruption had worsened in recent months, with high-level interference affecting routine clearances and disproportionately favouring large contractors.
“Despite having decided that small contractors would be paid ₹5 lakh to ₹50 lakh, big contractors are being given special letters of credit (LOC). Contractors are struggling due to pending bills,” the association wrote in a letter to the chief minister and three cabinet colleagues.
Manjunath directly accused a relative of minister Satish Jarkiholi of intervening in departmental matters and alleged that Ravi Boseraju, the son of minor irrigation and science and technology minister NS Boseraju, was “making all the deals.” He added, “For releasing money (by clearing bills), a higher commission is now being taken compared to the previous government.”
In response, deputy chief minister DK Shivakumar denied the involvement of any ministers. “If anyone has asked for commission from contractors to pay bills, they should file a complaint with the Lokayukta. Our ministers Satish Jarkiholi and Boseraju are not involved in this,” he told reporters at Vidhana Soudha. “Are they (contractors) not aware of the department’s budget? How did they take up the contract when there is no grant?” he asked.
Shivakumar defended his department, claiming that during the BJP’s tenure, over ₹1 lakh crore worth of contracts were awarded, and many of the pending payments now being requested relate to that period. “MLAs are requesting for payment of these contract bills,” he said.
The controversy also triggered a sharp political response from the opposition BJP. Leader of the Opposition R Ashoka strongly backed the allegations and said, “It’s 200% correct. There is no doubt at all. In Vidhana Soudha, the chambers of all the ministers are the collection centres, not the work centre or development centre.”
Ashoka further claimed that funds collected through alleged bribes were being sent to the Congress high command to retain cabinet positions. “Ministers were retained, the deputy CM was retained, and the Congress president was retained. There is no development in Karnataka. They are looting the government’s money,” he alleged.