The Enforcement Directorate logo.
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The Enforcement Directorate (ED) on Thursday said it had attached 10 immovable properties worth an estimated Rs 20.85 crore in connection with its probe into money laundering aspect of the MUDA scam.
The attached properties are six illegally alloted MUDA sites, three immovable properties and one commerical building. Chief Minister Siddaramaiah was among the suspects named by the ED.
The ED initiated investigation on the basis of an FIR filed by the Lokayukta police in Mysuru over a large-scale scam in illegal site allotment by the Mysore Urban Development Authority (MUDA).
“Searches in the case were undertaken by ED on 18.10.2024 and 28.10.2024. The searches revealed that the sites were allotted in gross violation of letter dated 14.03.2023, GO dated 27.10.2023 Karnataka Urban Development Authorities (Allotment of Sites in lieu of compensation for the land Acquired) Rules, 2009, as amended in 2015 and Karnataka Urban Development Authority (Incentive Scheme for Vluntary Surrender of Land) Rules, 1991. Further, search action also revealed a deep nexus between MUDA Officers/officials and real estate businessmen,” the ED
said.
“Evidence also revealed payment of cash for allotment of sites as compensation and approval of layouts,” it added.
Earlier, in the case, the ED had provisionally attached 283 illegally allotted MUDA sites and three personal properties.
Further, G T Dinesh Kumar, former MUDA commissioner, who allegedly made large-scale illegal allotment of MUDA sites, was arrested under the provisions of PMLA, 2002, on 16.09.2025. Presently, G T Dinesh Kumar is in judicial custody under PMLA, 2002,” it added.
ED’s probe also revealed routing and layering of undue gratification obtained by Kumar.
“Such proceeds of crime were used for purchasing immovable properties and construction of commercial building in the name of relative/associates of G T Dinesh Kumar. Further investigation also revealed gratification was received by former chairman of MUDA, S K Marigowda in the form of MUDA sites for illegal allotment of sites.
Proceeds of crime having market value of Rs 460 crore (approx.) have been attached so far in the case under the provisions of PMLA, 2002,” the agency added.