2 arrested in Karnataka tribal funds scam in wake of officer’s suicide | Bengaluru News

BENGALURU: The SIT probing the multi-crore tribal fund scam on Saturday arrested J G Padmanabha, suspended managing director (MD) of Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation, and accounts officer Parashurama G.
The duo, along with a Union Bank of India chief manager, had come under the scanner after their names were mentioned in a suicide note left behind by the corporation’s accounts officer Chandrashekar (50) – who died by suicide on May 26 at his Shivamogga residence – accusing the trio and a minister of embezzling funds meant for the upliftment of ST community.
The state-run corporation comes under Karnataka scheduled tribes welfare minister B Nagendra. Based on preliminary investigations, state govt suspended Padmanabha and Parashurama and ordered a probe as funds to the tune of Rs 94.7 crore had been siphoned off.
Opposition BJP has been demanding minister Nagendra’s resignation over his role in the scam while the Siddaramaiah govt has chosen a wait-and-watch approach till the election results are out on Tuesday.
The SIT produced Padmanabha and Parashurama before the magistrate court Saturday and sought 14-day police custody for investigation. The court granted six days, until June 7. SIT took the duo to CID office for further investigation.
Meanwhile, SIT officials conducted searches at the residences and office premises of the accused persons in Bengaluru and Davangere. Union Bank of India’s MG Road branch chief manager, Suchismita Rawal, is yet to be brought in for questioning.

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