IT raids on Karnataka Minister hosting Gujarat MLAs at resort

The Income Tax Department conducted raids on Karnataka minister D K Shivakumar who was in charge of hospitality of the 40 odd Gujarat MLAs residing at a resort near Bengaluru. Officials have recovered Rs 5 crore in cash some reports suggested.

The IT department officials are conducting raids at Shivakumar's residences at Kanakpura and Sadashivnagar. The IT raids began at 7 am on Wednesday. Raids are also on at the residence of D K Suresh, the minister's brother.

The IT department clarified that the raids were not pertaining to the Gujarat MLAs. It is only in respect to the minister and his accomplices, the department said. The same was echoed in Parliament by Finance Minister Arun Jaitley too after the Congress accused the BJP of blatant misuse of power. It was clarified that the IT department sleuths were at the resort since the minister and his brother were staying there.

20 officials are involved in the search operations at the residence of Shivakumar. Sleuths also raided a residence of Balaji, a close confidante of the minister's brother.

Shivakumar who is the energy minister is in charge of hospitality for the Gujarat Congress MLAs. To avoid poaching, the MLAs from Gujarat were shifted to the Eagleton Golf resort, around 40 kilometres from Bengaluru.

Several documents have been seized are being verified by over 80 IT officials, sources said. At around 7 am, multiple teams of the IT officials entered these locations simultaneously. Raids are being also conducted at the residences of close aides of the minister as well.

Meanwhile two days back:

Incidentally two days before the MLAs from Gujarat landed at the Eagleton resort near Bengaluru, the government of Karnataka had asked the resort to pay a penalty bill of Rs 982 crore.

The decision was taken at a Cabinet meeting on July 27. Over 40 MLAs from Gujarat landed at the resort last week to prevent them from switching loyalties to the BJP. The MLAs have been kept in the resort ahead of the Rajya Sabha polls in which senior Congress leader from Gujarat Ahmed Patel is contesting.

State Law Minister T B Jayachandra said that cabinet has decided to ask the resort to pay Rs 982 crore as penalty to regularise 77 acres of land encroached by it or surrender it to the government.

It has been learned that in 2012 then BJP government had decided to hand over the 77 acres to the resort for a regularisation fee of Rs 82.69 crore.

The resort which is considered a world-class golf resort was started by Andhra Pradesh businessman, Meda Ashok Kumar. Following his death his two sons Kiran Kumar and Chethan are running the resort.

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