No money laundering in MUDA case, political motive behind mentioning my name in ED seizure report: CM

Mysuru, DHNS: Chief Minister Siddaramaiah said that the High Court has observed that there was no money laundering in the Mysuru Urban Development Authority (MUDA) case, in a petition filed by former MUDA Commissioner Natesh. "It doesn't come under PMLA. This is applicable to the entire MUDA case," he said.

"HC has observed this and noted that the step by the Enforcement Directorate to issue notice to Natesh, search his house, summon him, was not legal, it was wrong," he added.

He was responding to questions by media persons at Suttur in Nanjangud taluk Mysuru district on Friday.

About his name and names of his family members mentioned in the ED report released on Thursday, Chief Minister Siddaramaiah said, "What is the evidence to show that there was money laundering in the case? There is no illegality in it."

"The report released by ED on Thursday (January 30) is a seizure report. They are intentionally politicising the issue. They are targeting me since I am CM, since they have not got anything against me. There is a serious political effort and malafide intention behind it to tarnish my name, to give a false message to people. They will not succeed in it," he said.

Karnataka CM Siddaramaiah.

"We have approached the Court. The Court has given a stay regarding ED Summons to my wife twice. Complainant Snehamayi Krishna had appealed to the Governor for prosecution against me. Lokayukta is enquiring. Is Lokayukta not an individual institution?" he asked.

About Yathindra's statement that his father would continue five years as CM, he said, "What I say is important. I have cleared that High Command's decision is final."

Regarding meetings of Congress leaders like Sathish Jarkiholi and G Parameshwar, he said that there is nothing wrong in holding meetings or having dinners together with Congress leaders. It is not politics and not against the interest of the party. It need not be misinterpreted.

When asked about his expectations from the Union Budget, he said, "When they are not giving what they were supposed to give rightly, judiciously to the State, what can we expect? They had announced in the previous budget to give Rs 5,300 to Upper Bhadra project. They have not given a Rupee for that so far and not released money for many other projects."

"There is injustice in tax devolution. We give Rs 4500 crore tax to the Union Government and we get back only Rs 60,000 crore. If we give Re 1, we get back 13-14 paise. Last year, they had given Rs 2,342 crore NABARD fund last year and they have deducted that funds by 58% too. There has been injustice to the State by the Union Government," CM noted.

Harassment by microfinance institutions

Chief Minister Siddaramaiah called on people not to take extreme steps due to harassment by microfinance or any other money-lending institutions. He assured them that the State Government is with them and they will pass an ordinance soon and take stringent action against microfinance institutions that are taking exorbitant interest, illegally, against RBI rules.

"Microfinance institutions, registered or unregistered cannot ask exorbitant interest upto 28, 29-30% interest. They are taking coercive measures and outsourcing goondas and threatening to retrieve money from people. Government will take measures against them," Siddaramaiah said.

When asked about BJP State head B Y Vijayendra's statement about Congress leaders commenting on stampede, he said, "It is a childish statement by B Y Vijayendra. The Kumbh Mela and the incident has happened in Uttar Pradesh where the BJP-led State Government is in power. So is it wrong to criticise? There is debate about his leadership in their own party."