Karnataka HC extends stay on ED summons to CM Siddaramaiah’s wife and minister B S Suresha in MUDA case

The Karnataka High Court on Monday extended its interim stay on the Enforcement Directorate (ED) summons issued to Chief Minister Siddaramaiah’s wife, Parvathy, and Minister B S Suresha in connection with the MUDA case. The stay will remain in effect until February 20.

Justice M Nagaprasanna directed the ED to file its objections within a week and scheduled the next hearing for February 20. Senior Advocates Sandesh J Chouta and Vikram Huilgol represented Parvathy, while Senior Advocate C V Nagesh appeared for Suresha.

During the hearing, Chouta argued that the summons under Section 50 of the PMLA and the Enforcement Case Information Report (ECIR) should be quashed, stating that no proceeds of crime existed at the time of the ECIR’s initiation. He questioned whether an inquiry under the PMLA could proceed while the Lokayukta’s investigation into the predicate offence was still ongoing.

Emphasizing the legal requirements under the PMLA, Chouta stated, “For an offence to be established, the accused must have enjoyed the proceeds of crime. In this case, the sites in question were returned to the authorities before any PMLA action was initiated.” The court, however, responded, “The crime will not vanish.”

Meanwhile, Nagesh, representing Suresha, contended that his client had no involvement, as he took office as a minister only in June 2023, long after the alleged illegal allotment of sites. He further pointed out that the complaint, based on a private petition, did not even mention Suresha.

With the ED now required to submit its response, the case will be heard further on February 20.