R. Ashoka, Leader of the Opposition in the Karnataka Legislative Assembly and senior Bharatiya Janata Party (BJP) leader, on Thursday, 25 June alleged a ₹225 crore fraud in the state's Gruha Lakshmi welfare scheme, calling it a case of 'state-sponsored cybercrime' and demanding an immediate probe by the Central Bureau of Investigation (CBI) and central cybercrime agencies. The Karnataka government has not responded to the allegations.

Key Allegations

Addressing a press conference in Bengaluru, Ashoka alleged that payments under the Gruha Lakshmi scheme were routed to fake and deceased beneficiaries' accounts, with the fraud reportedly flagged in a Comptroller and Auditor General (CAG) report. He claimed the scheme's software was 'deliberately designed' to enable such diversions, and that the irregularities were uncovered through a 'data dump' analysis of departmental records rather than routine audits.

According to Ashoka, 2.11 lakh beneficiaries identified as deceased continued to receive payments, while data for another 77,000 individuals remains untraced. He further alleged that beneficiary bank accounts were repeatedly altered over two years — some reactivated after months of inactivity, others receiving intermittent payments — pointing to what he described as a 'systematic operation involving digital manipulation and possible money laundering.'

Demand for SIT and CBI Intervention

Ashoka called for the immediate constitution of a Special Investigation Team (SIT) and urged central cybercrime authorities to trace the IP addresses from which the alleged data manipulation was carried out. He accused senior officials and political leaders of complicity, alleging that Chief Minister D.K. Shivakumar has maintained silence on the matter and that the fraud cannot be attributed to a mere technical lapse.

He also alleged that the Congress-led government formed a 'Guarantee Committee' at a cost of ₹150 crore that has failed to prevent these irregularities, and claimed that a cumulative ₹5,000 crore has already been 'swallowed' under various guarantee schemes.

Pension Suspension and Fiscal Concerns

Ashoka raised additional concerns about the state's fiscal position, alleging that pension payments for 16 lakh beneficiaries have been suspended for the last three months due to a revenue shortfall. He criticised what he described as a 'guarantees first, pensions later' policy, arguing that vulnerable beneficiaries are being left without recourse.

He contended that despite Karnataka being a leading IT hub, the government failed to deploy basic digital safeguards to prevent payments in the names of deceased persons — a contradiction he called 'inexcusable.'

Government Yet to Respond

The Karnataka government and Chief Minister D.K. Shivakumar had not issued any official response to the allegations as of the time of reporting. The claims, made entirely by the BJP opposition, have not been independently verified. With the CAG report cited as the primary documentary basis, the next move will likely depend on whether the ruling Congress chooses to engage or contest Ashoka's characterisation of the data.