A health worker conducts Covid-19 tests at a hospital in Thane 
Karnataka

Karnataka Govt transfers COVID-19 scam probe to CID

It is alleged that the previous BJP government has misappropriated funds of Rs 167 crore in the procurement of PPE kits and medical supplies.

Written by : TNM Staff

The Karnataka government has transferred the probe into the alleged Rs 167 crore COVID-19 scam to the Criminal Investigation Department (CID), nearly two months after an FIR was registered over financial irregularities during the pandemic.

A special CID team, led by Superintendent of Police Raghavendra Hegde along with three Deputy Superintendents, has been assigned to investigate the suspected corruption that took place under the previous BJP government. The decision comes amid growing concerns over mismanagement and procurement violations involving N95 masks, PPE kits, and large-scale COVID-19 testing.

The case was initially set to be investigated by a Special Investigation Team (SIT), as per a decision taken by the State Cabinet in November 2024. However, the government has now opted for a CID probe, citing established protocols that mandate financial frauds exceeding Rs 5 crore to be handled by the Economic Offences Wing of the CID.

The FIR names former Directorate of Medical Education director P.G. Girish and officials Ragu G.P. and N. Muniraju, accusing them of colluding with other government officers and public representatives to violate the Karnataka Transparency in Public Procurement Act, 1999. The alleged misappropriation, totaling Rs 167 crore, has reportedly resulted in significant losses to the state exchequer.

CID officials have commenced their investigation and have sought state government approval to conduct a preliminary inquiry against the accused officers under Section 17(1)(A) of the Prevention of Corruption Act, 1988.

Deputy Chief Minister D.K. Shivakumar, who headed a cabinet sub-committee examining the case, referenced key findings from a report by a commission led by Justice John Michael D’Cunha. The report highlighted severe financial mismanagement, prompting the government to intensify action against those responsible.

Shivakumar pointed to serious irregularities in COVID-19 testing expenditures. He revealed that within Bruhat Bengaluru Mahanagara Palike (BBMP) limits alone, 84 lakh RT-PCR tests were conducted, generating bills worth Rs 502 crore, out of which Rs 400 crore had already been paid. Calling the numbers "implausible," he noted that this would mean an average of two tests per household.

Further suspicions were raised over Kidwai Hospital, which reportedly billed Rs 146 crore for conducting 24 lakh tests, despite lacking the required technical capacity and approval from the Indian Council of Medical Research (ICMR).