Bengaluru, DHNS: The Karnataka High Court on Thursday quashed the Lokayukta proceedings initiated against former minister Katta Subramanya Naidu in the Karnataka Industrial Areas Development Board (KIADB) scam.

Justice Anand Byrareddy quashed the proceedings after hearing the criminal revision petition filed by Naidu and a criminal petition by another accused M Gopi.

Naidu had approached the court urging it to quash the Lokayukta proceedings initiated against him. It was alleged that large tracts of land in Bandikodigehalli village in Jala hobli on International Airport road were acquired to establish IT and ITES firms. The KIADB was alleged to have demanded bribe from land owners for speedy disbursement of compensation.

Naidu, a former minister for Industries, IT and BT, and Gopi, a former coporator, were booked on the charges of committing irregularities in allotment of land. Two corporate entities, Itasca Software Development Pvt Ltd and United Telecom Limited (UTL) were accused of conspiring with the suspects in the allotment process. The judge quashed the proceedings stating that, “Two corporate bodies Itasca and UTL have not been named in the charge sheet as the accused. The theory of conspiracy has no foundation and cannot be sustained against any of the accused.” (sic).

The Lokayukta police case was that in 2006, Itasca sought 325 acres from the then JD(S)-BJP coalition government to set up a special economic zone (SEZ). The application was made through Naidu’s son Katta Jagadish to the Karnataka Udyog Mitra. Despite several deficiencies in the application, Naidu, who was then a minister, instructed the authorities that the application be tabled before a high-powered committee headed by the chief minister.

Subsequently, the application was accepted and the government issued an order for allotment of land at Bandikodigehalli. The Lokayukta police, upon investigation, found large-scale irregularities by the KIADB during acquisition of land for Itasca. The police stated that S V Srinivas of Itasca and Basavapoornaiah had paid Rs 87 crore to Naidu and his son. The money was paid to them through?Indu Developers, a proxy company held by the Katta family.

High court relief to two BJP MLAs

The high court on Thursday quashed the lower court proceedings initiated against Yelahanka MLA S R Vishwanath of the BJP in a disproportionate assets case.

Justice Anand Byrareddy quashed proceedings as two FIRs were filed against the MLA, who was accused of possessing wealth worth Rs 70 crore. The high court also quashed lower court proceedings against Dasarahalli MLA S Muniraju, also of the BJP.

He was accused of selling a property of nine guntas at Kariguddanahalli that belonged to a certain Mallamma. Justice Byrareddy quashed the proceedings as Mallamma was not able to submit evidence to prove that the land belonged to her.