Image Credit: Planning Commission (GODL-India)
Yediyurappa, Ex-Minister Face Charges Over Alleged Misuse of Covid Funds in Karnataka
In a significant development, a probe led by retired High Court judge Michael D’Cunha has recommended prosecuting former Karnataka Chief Minister BS Yediyurappa and ex-Health Minister B Sriramulu over alleged fund misappropriations during the Covid-19 pandemic.
The inquiry, which investigated potential corruption within the previous BJP-led government, specifically cited procurement irregularities under Section 7 of the Prevention of Corruption Act.
The alleged misuse involves questionable purchases of around three lakh PPE kits in 2020 from Chinese suppliers at prices notably higher than domestic offers. While the Karnataka government claimed local companies couldn’t meet demand, records reveal that PPE kits from Plasti Surge Industries Pvt Ltd were initially priced at Rs 330.40, later rising to Rs 725 per unit. In stark contrast, Chinese supplier DHB Global charged nearly Rs 2,117.53 per kit, contributing to a reported Rs 67.69 lakh financial loss.
Allegations of Bypassed Bidding Process
The report alleges that the Karnataka State Medical Supplies Corporation Limited (KSMSCL) sidestepped the standard competitive bidding process, opting for direct orders. Both Yediyurappa and Sriramulu are accused of supporting this procurement approach, which included favouring DHB Global over the lower-bidding Big Pharmaceuticals, resulting in further inflated expenses. According to the report, the total procurement discrepancies may amount to nearly Rs 150 crore.
In response to these findings, Yediyurappa dismissed the accusations, stating, “No need to worry about COVID-related prosecutions. We followed all legal protocols during the pandemic… I am confident that I have done nothing wrong.”
Government’s Next Steps
Karnataka Health Minister Dinesh Gundu Rao, addressing the media, noted that the probe’s findings align with earlier opposition claims regarding Covid fund misuse. Rao emphasized that legal action is forthcoming, including possible prosecution for irregularities flagged in the procurement of masks, ventilators, and PPE kits. He said, “Some action can be immediately taken, and prosecution can start,” adding that Justice Cunha’s high-standing reputation underscores the severity of these findings.
Rao clarified that the investigation, which is set to include other departments like Urban Development and BBMP, is not politically motivated. “We are not going on some political witch hunt,” he said, underscoring a broader intention to ensure accountability. The report is expected to be tabled in the Karnataka legislative assembly, making its findings available to the public.
