In connection with the alleged Valmiki Corporation-linked money laundering case, officials from the Enforcement Directorate (ED) carried out searches at eight locations in Karnataka. These included the residences of Ballari MP E Tukaram and four Congress MLAs: Nara Bharath Reddy (Ballari city), J N Ganesh (Kampli), N T Srinivas (Kudligi), and B Nagendra (Ballari rural). The searches were reportedly part of an ongoing investigation into financial irregularities involving the Karnataka Maharshi Valmiki ST Development Corporation.
According to ED sources, the agency is probing allegations that funds were illegally siphoned off from the accounts of the Valmiki Corporation and subsequently used to distribute cash to voters and Congress party workers in the Ballari constituency during the 2024 Lok Sabha elections. The ED's actions suggest a wider attempt to trace the money trail and identify the full extent of electoral malpractice and corruption tied to the alleged scam.
The raids sparked political controversy, with Congress president Mallikarjun Kharge calling the ED action a politically motivated “conspiracy” to create rifts within the Karnataka Congress unit. Speaking to the media, Kharge claimed he had no detailed information but asserted that the ED had consistently targeted the Congress party due to political bias. He insinuated that the move was part of a broader agenda to weaken the party in the state through misuse of central agencies.
Responding to the raids, Karnataka Chief Minister Siddaramaiah took a neutral stance. He acknowledged that the ED had the legal authority to conduct such searches and stated that his government would not interfere with the legal process. Siddaramaiah stressed that his administration would neither support any unlawful actions nor obstruct the implementation of law, reaffirming the state government's commitment to upholding legal norms.
Karnataka’s Deputy Chief Minister D K Shivakumar also addressed the issue, dismissing any link between the Congress MLAs and the Valmiki Corporation scam. He emphasized that none of the party's leaders were involved in distributing money during elections. Shivakumar also pointed out that nearly 90% of the misappropriated funds in the scam had already been recovered, attributing the bulk of the misuse to corrupt officials rather than politicians.
The Valmiki Corporation scam has become a focal point of political and legal scrutiny in Karnataka, especially as the ED intensifies its investigation. The scam revolves around alleged embezzlement and diversion of development funds meant for the Scheduled Tribe community, raising serious concerns about governance and accountability in welfare schemes. With the central agency's involvement, the case has now taken on national significance, potentially influencing public perception and political dynamics in the state.
While the ED continues its probe, the Congress leadership maintains that the party is being unfairly targeted. The unfolding developments are likely to fuel further political debate in Karnataka, especially with state and national elections looming on the horizon.