The alleged ₹187 crore irregularities in the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation reignited a fierce political battle on 17 August during the monsoon session of the state legislature, with the Bharatiya Janata Party (BJP) and Janata Dal (Secular) (JD-S) demanding the ouster of Minister B. Nagendra from the Karnataka Cabinet. The opposition disrupted both the Legislative Council and the Legislative Assembly, refusing to allow proceedings until Nagendra stepped down.

Uproar in Both Houses

BJP members stormed into the Legislative Council at the very start of Question Hour, raising slogans demanding Nagendra's resignation. When Minister for Higher Education Basavaraj Rayareddy attempted to address the Council, opposition members shouted 'resignation first, proceedings later,' briefly halting business. The confrontation simultaneously played out in the Legislative Assembly, where Leader of the Opposition R. Ashoka and other BJP legislators pressed for the minister's removal.

Legislative Council Opposition Leader Chalavadi Narayanaswamy alleged that Nagendra had not received a clean chit and that the matter remained sub judice. He alleged that ₹187 crore had been siphoned from the corporation and questioned why Nagendra was inducted back into the Cabinet despite pending allegations.

Government Pushes Back

Minister for Health and Minority Welfare U.T. Khader responded by citing the court's position in the case, asking whether the opposition placed itself above the judiciary. Minister Priyank Kharge countered that Nagendra had received a clean chit in the CID investigation and was an accused facing allegations — not a convicted person.

BJP's Key Allegations

BJP MLC C.T. Ravi, speaking to reporters at Vidhana Soudha, alleged that the government's own reply to his legislative question confirmed that ₹89.62 crore had been transferred to various bank accounts. He noted that police had registered cases against 14 people, including Nagendra and the then Managing Director of the corporation.

Ravi referred to a court statement allegedly made by the 13th accused, Satyanarayana Verma, in which Verma reportedly claimed he faced threats to his life from Nagendra and his associates. Ravi further alleged that the Special Investigation Team (SIT) appointed by the government had established misuse of funds, even though a complete charge sheet had not yet been filed.

Ravi also alleged that misappropriated funds had been used during the Telangana elections, the Kalaburagi by-election involving Congress President Mallikarjun Kharge's son-in-law, and the Ballari Lok Sabha election — and that money had reached liquor shops, jewellery stores, and car showrooms. He alleged that Nagendra was reinstated to the Cabinet on the condition that he would not name senior leaders, a charge the government has not publicly addressed.

The Death of Officer Chandrashekar

Ravi also raised the death by suicide of an officer named Chandrashekar, alleging that his family had yet to receive provident fund benefits. He claimed that without Chandrashekar's death, fake beneficiaries could have been created, and suggested that similar misuse may have occurred in the Gruha Lakshmi scheme and other development corporations, demanding a broader investigation.

Protests Beyond the Legislature

Outside the legislature, the BJP staged demonstrations at several district headquarters, including Ballari, Mysuru, Tumakuru, and Ramanagara. Narayanaswamy warned that the agitation would intensify both inside and outside the legislature until Nagendra resigned. The BJP has framed the issue as a test of the Congress government's commitment to accountability for its own ministers.

With the SIT investigation ongoing and a charge sheet yet to be filed, the political pressure on the Karnataka government over the Valmiki Corporation case is unlikely to ease before the monsoon session concludes.