Amidst mounting pressure Karnataka Minister B Nagendra broke down on Friday, August 28 and announced his resignation from the state Cabinet over alleged financial irregularities in the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation. Nagendra, who had resigned from the Cabinet over the same controversy in 2024, was re-inducted only earlier this month.
Nagendra’s resignation comes after the BJP mounted sustained pressure on the Congress government during the recent monsoon session of the Karnataka Legislature, demanding that he be dropped from the Cabinet.
Nagendra was serving as Tribal Welfare Minister in the Siddaramaiah-led government when the controversy first surfaced in May 2024. He resigned in June that year after his name emerged in connection with the alleged diversion of funds from the Valmiki Scheduled Tribes Development Corporation.
The controversy erupted after corporation accounts superintendent Chandrasekharan P died by suicide in May 2024, leaving behind a note alleging that funds had been transferred without authorisation. The BJP has alleged irregularities involving around Rs 89 crore.
Despite the allegations, Nagendra was re-inducted into the Cabinet when Chief Minister D K Shivakumar expanded his ministry. His return had surprised many and was seen as a sign of the Congress’s continued backing of the influential tribal leader from Ballari.
The BJP renewed its demand for Nagendra’s resignation after his re-induction, particularly after the CBI chargesheeted him over his alleged role in the diversion of funds during his tenure as minister in 2023-24.
During the monsoon session, the BJP repeatedly targeted the Congress government over Nagendra’s return to the Cabinet. The government, however, refused to accept the Opposition’s demand. The session was adjourned on August 24, three days ahead of schedule, amid the standoff.
“There is nothing wrong in asking for the resignation of Minister B Nagendra in connection with the illegal transfer of funds of the Valmiki Development Corporation. But a notice should be given and a discussion should be held on this,” Shivakumar had said in the Legislative Council on August 24.
He had added that an investigation had been conducted, a report received and the process of recovering the money was underway.
After the session, Leader of Opposition R Ashoka led a BJP delegation to Governor Thaawar Chand Gehlot, seeking his intervention to secure Nagendra’s resignation.
“The case has not been closed. No clearance has been given. Instead, the investigation has progressed to the stage of filing a chargesheet. In such a situation, what moral justification does the government have for reinducting the same person into the Cabinet?” Ashoka had asked.