MUDA site ‘scam’ puts CM under the scanner just ahead of legislature session

Urban Development Minister Byrathi Suresh claims he had issued orders against allotting sites under the controversial 50:50 scheme in October and December 2023, but the process continued

Updated - July 04, 2024 11:50 am IST

Published - July 03, 2024 07:35 pm IST - MYSURU

A file photo of the Mysuru Urban Development Authority (MUDA) office in Mysuru.

A file photo of the Mysuru Urban Development Authority (MUDA) office in Mysuru. | Photo Credit:

Notwithstanding Chief Minister Siddaramaiah’s clarification that the Mysuru Urban Development Authority (MUDA) had allotted residential sites to his wife, Parvathi, in lieu of the land acquired by it for developing a residential layout, the alleged irregularities in the allotment of sites by the authority to land-losers remain controversial and are expected to give fodder to the Opposition for attacking the ruling dispensation during the upcoming legislature session.

How CM’s family figures

Mr. Siddaramaiah’s wife owned about 3 acres and 16 guntas of land at Kesare near the Outer Ring Road in the northern part of Mysuru city. After developing Devanur 3rd Stage, also known as Rajeev Nagar 3rd Stage, on the land belonging to Ms. Parvathi and distributing the sites created in the layout, MUDA in 2021 ordered allotment of residential sites measuring a total of 38,284 sq. ft, under its 50:50 scheme for land-losers, to her.

Under the 50:50 scheme brought in by MUDA in November 2020, land-losers are entitled to 50% of the developed land. Out of every acre of undeveloped land, about 23,000 to 24,000 sq. ft of developed land is available for residential sites while the remaining is set aside for utilities. “So, under the 50:50 scheme, the available developed land is equally divided among MUDA and the land-loser, each of whom is entitled to around 11,500 to 12,000 sq. ft for every acre,” said sources in MUDA.

But, MUDA’s decision to allot 14 sites residential sites measuring a total of 38,284 sq. ft. to Ms. Parvathi at its Vijayanagar 3rd and 4th Stage layouts situated in the southern part of Mysuru has raised questions. For, the market value of residential sites at Devanur 3rd Stage layout in northern and northeastern parts of the city is much less compared to that of sites at Vijayanagar 3rd and 4th Stage layouts. Mr. Siddaramaiah, however, has claimed that MUDA allotted sites at Vijayanagar as sites were not available in Devanur 3rd Stage layout. Also, he has emphasised that the alternative sites were allotted to his wife under the 50:50 scheme during the BJP regime.

Problems with scheme

The 50:50 scheme introduced by MUDA in November 2020 came under severe criticism from various quarters several months ago, forcing the State government to issue orders against allotting sites under it to land-losers.

Urban Development Minister Byrathi Suresh said he issued orders to MUDA against allotting sites under the scheme in October and December 2023. But, allotment of sites to land-losers under the scheme continued. A large number of sites had allegedly been allotted illegally to persons claiming to be land-losers. Apart from the role of middlemen, the active connivance of MUDA officials has been suspected in the scam.

MLA for Krishnaraja T.S. Srivatsa shared copies of MUDA ordering allotment of sites to two land-losers. In one of the orders dated June 15, 2024, then MUDA Commissioner Dinesh Kumar awarded 98,206 sq. ft of developed land to the heir of the original owner of the 8.14 acres of land that had been acquired by MUDA for the development of Gokulam layout. The acquisition proceedings for Gokulam layout in Mysuru started in 1968.

In another order, dated October 7, 2023, the MUDA Commissioner had awarded a total of 81,670 sq. ft of developed land to the wife of the owner of a parcel of land measuring 7.03 acres to acquire which MUDA had started proceedings in 1989.

Mr. Srivatsa said the orders issued by MUDA for allotting such large parcels of developed land in the upmarket residential layouts in the city in lieu of the land whose physical possession MUDA had taken several years ago had several loopholes. “In one case, the application for allotment of land by the land-loser had been made after the actual orders were issued,” he said.

In some instances, land-losers had been allotted sites far in excess of their entitlement, according to sources. If a land-loser is entitled to 30 sites of 30x40 ft dimension in accordance with the quantum of land acquired by MUDA, she or he would be allotted 60 sites of 30x40 dimension.

‘Fraud’ in incentive sites

Large-scale irregularities are also believed to have been committed during the allotment of incentive sites. Though one incentive site was meant to be given to land-losers in addition to the cash compensation, it has been alleged that multiple incentive sites had been allotted to persons for the same land.

“Fraudsters traced farmers who had received compensation for their land long ago and made them apply for incentive sites. After the allotment, the sites were bought from such farmers for a small amount of money and sold in the market,” said a source familiar with the MUDA scam.

The four-member inquiry committee headed by Commissioner, Urban Development Authorities, Venkatachalapathi R., an IAS officer, is expected to go through all the allotments for land-losers under the 50:50 and incentive schemes and cancel illegal allotments. The committee has been given 15 days to submit the report and it is expected to be ready just as the legislature session begins on July 15.

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