Bengaluru: In a major development in the Mysuru Urban Development Authority (MUDA) scam, the Enforcement Directorate (ED) has arrested former MUDA commissioner GT Dinesh Kumar on charges of money laundering and illegal site allotment.
Officials today said Kumar was taken into custody after he appeared at the ED’s zonal office in Shanthinagar, Bengaluru, in response to a summons. The agency alleged that it had gathered incriminating evidence of financial irregularities, including the creation of fake documents to re-allot residential sites illegally.
Kumar is allegedly accused of amassing properties and wealth disproportionate to his known sources of income through the alleged site scam. Several of his assets have already been attached under the Prevention of Money Laundering Act (PMLA).
Kumar, who took charge as MUDA commissioner in 2022, came under the scanner after complaints surfaced over irregularities in the 50:50 site-sharing scheme. Under public pressure, the state government transferred him without assigning a post. He was later appointed as Registrar of Haveri University, but the order was revoked following criticism.
Earlier, the Karnataka Lokayukta Police had sought prosecution sanction against both former MUDA chairman HV Rajeev and Kumar. Approval was granted only against Kumar, allowing investigating agencies to proceed.
This is not the first controversy involving Kumar. On October 28 last year, when ED officials raided his residence at Deepika Royal Apartment in Banaswadi, he allegedly went for a walk and did not return immediately, though he later appeared for questioning.
Further investigation into the scam is underway, the ED added.