NEW DELHI, 6 OCT

The Enforcement Directorate (ED) has provisionally attached 34 immovable properties, including prime sites owned by the Mysuru Urban Development Authority (MUDA), with a market value of Rs 40.08 crore. The Bengaluru Zonal Office carried out the action under the Prevention of Money Laundering Act (PMLA), 2002, as part of an ongoing investigation into the large-scale MUDA scam, which has drawn nationwide attention.

The probe began after an FIR was registered by the Lokayuktha Police in Mysore, uncovering a network of money laundering and the routing of undue gratification obtained by former MUDA Commissioner GT Dinesh Kumar, who was arrested last month. Investigators found that Kumar allegedly used the illicit funds to acquire immovable properties in the names of relatives and associates, circumventing official processes.

Further investigation revealed the illegal allotment of 31 MUDA sites, carried out in gross violation of Karnataka’s urban development rules and multiple government orders. ED searches also exposed a deep nexus between MUDA officials and real estate businessmen, including evidence of cash payments made to secure unlawful site allotments and layout approvals, undermining transparency and accountability.

With this action, the ED has attached the total proceeds of crime in the case valued at Rs 440 crore, striking a significant blow to the corruption network. Kumar remains in judicial custody as authorities continue tracing additional assets linked to the scam.