The JD(S) supremo said after the Supreme Court passed "strictures" against the Speaker, he had no moral right to continue in office.
He said the apex court in its order had also referred to "how the Chief Minister used the Speaker" to manipulate the Vote of Confidence on October 11 last year to save his government and demanded that he too quit office.
In this background, the ruling BJP should elect a new legislative party leader, Devegowda said.
He said BJP "went to the extent" of trying to "humiliate" Prime Minister Manmohan Singh in Parliament over 2G, CWG and Adarsh scams but was adopting "double standards" when it came to the charges faced by Yeddyurappa by not acting against him.
"The Governor has taken the right decision," Devegowda said on H R Bhardwaj recommending to the Centre to impose President's Rule. "The Governor has acted within the ambit of power".
He pointed out that ten of the 11 BJP rebels who had demanded the change of Yeddyurappa's leadership since October last year have suddenly made a "U-turn" and are now referring to the Chief Minister as an "angel." "What's the deal (between the BJP and these MLAs?" he wanted to know.
Devegowda lashed out at the BJP for indulging in "Operation Lotus" under which it wooed opposition MLAs to quit their seats and cross over to the ruling party by offering ministerial posts or heads of state-run Boards or corporations and hefty special grants for their constituencies ever since it came to power.
He termed the phenomenon "cancerous disease" which must be put an end to.