Bengaluru, Feb 14 (NationPress) BJP state president and MLA B.Y. Vijayendra has accused the Congress-led Karnataka government of misappropriating a special grant of Rs 1,323.96 crore issued by the Centre. He claims the funds, intended for designated schemes, were redirected to other projects at the government's discretion without proper authority.

During a press briefing at the BJP state headquarters, Jagannath Bhavan in Bengaluru on Saturday, Vijayendra alleged that the state government and relevant departments failed to utilize the funds appropriately. Instead, he claimed a forged utilization certificate was presented to the Centre under pressure from the Finance Department.

He demanded clarification from the Chief Minister regarding the alleged submission of a fake utilization certificate for the funds. “What has happened to this money?” he questioned while unveiling related documents.

Vijayendra pointed out that on July 1, 2025, the Finance Department released the amount for capital investments, and the Karnataka Minor Irrigation Department was supposed to submit a utilization certificate to confirm the funds were used as intended.

He further accused the Krishna Bhagya Jala Nigam and Visvesvaraya Jala Nigam of issuing similar certificates under duress from the Finance Department. In response to inquiries, he mentioned that the grant was interest-free and specifically allocated.

Highlighting the Valmiki Development Corporation scandal, Vijayendra expressed concern that the transfer of hundreds of crores to neighboring Telangana could not have occurred without the Chief Minister's knowledge or consent, who also oversees the Finance portfolio.

He noted that investigations are ongoing regarding numerous fraudulent accounts allegedly created to misappropriate funds, and a relevant minister has resigned amid the controversy.

Vijayendra also referenced the tragic suicide of a Scheduled Tribe board officer, Chandrashekhar, who reportedly succumbed to pressure from higher officials.

He claimed that, at the Finance Department's request, a utilization certificate for Rs 132 crore under the Centre’s special grant was submitted, even though the funds had not been released and remained pending, as indicated by departmental officials.

“Is this utilization certificate real? Was it issued under duress? Is it legitimate?” he demanded answers from the Finance Department and the Chief Minister.

He sought clarity on the department to which the Centre’s special grant was transferred and whether it was utilized according to the approved purpose.

Vijayendra mentioned that BJP legislators had raised concerns during the Belagavi winter session about the transfer of Rs 5,000 crore under the Gruha Lakshmi scheme, inquiring about the allocation of funds and whether they were used properly, misappropriated, or involved in corruption.

He asserted that the Chief Minister, who also holds the Finance portfolio, has yet to respond to these inquiries.

He criticized the Chief Minister for providing what he described as an evasive response to a question posed by the Leader of the Opposition R. Ashoka in the Assembly recently, urging him to clarify the status and utilization of the pending Rs 5,000 crore.

Former Deputy Chief Minister and MP Govind Karjol and former Deputy Chief Minister and MLA C.N. Ashwath Narayan were present at the press conference.