The Congress-led administration in Karnataka set up a new panel to probe the allegations of 40% commission against the previous BJP government.
KSCA President D Kempanna submits second set of evidences against 40 percent commission allegations against the previous BJP government. (Supplied)
Karnataka Contractors’ Association president D Kempanna, on Thursday, 7 December, submitted an apparently compelling set of “evidence” to an investigative panel led by retired high court judge HN Nagamohan Das.
The panel is currently probing the allegations of “40-percent commission” levelled against the previous BJP government in Karnataka.
The allegations say the previous BJP regime in Karnataka — including leaders at various levels within it as well as administrative personnel — reportedly demanded 40 percent of the cost of a project from contractors as “commission” before their remuneration was “cleared” at a formal level.
The Congress government, under Chief Minister Siddaramaiah, established the panel after assuming power in May.
The allegations of a substantial commission were a prominent issue during the Congress’ campaign in the run-up to the 2023 elections.
The party promised to investigate the claims that ministers in the previous BJP-led government collected such commissions — a charge vehemently denied by the saffron party.
After submitting the second set of evidence, Kempanna indicated his intent to provide further details to the panel before the end of the month.
He also said that more contractors will come forward with relevant documents by 30 December.
Kempanna told South First, “We submitted the first set of evidence a few days ago. This is the second set of evidence on the 40-percent commission that has been presented before the panel.”
He added: “I have sought time till 30 December for the submission of another set of evidence against the commission allegations. We have got solid evidence against the BJP on the 40 percent commission charges.”
He also said: “This evidence is not confined to Bengaluru, but is spread the entire state. I would not like to comment on the investigation as it is underway.”
Kempanna also said: “We will submit more evidence whenever the contractors come up with the documents in the following days.”
Meanwhile, he also said that the current government was releasing the pending dues of contractors in phases.
The Congress-led administration in Karnataka established a new panel on 26 August to meticulously investigate the serious allegations of a 40 percent commission levelled by the KSCA.
The state government underscored that Kempanna, in his capacity as the head of KSCA, formally communicated the allegations to both Prime Minister Narendra Modi and then-Karnataka chief minister Basavaraj Bommai under the BJP.
The allegations encompassed a purported “package culture”, wherein 40-percent commissions were alleged, along with the assertion of payment of 25-30 percent commissions to elected officials before project commencement.
The gravity of these accusations prompted the state government to take decisive action, invoking the Commission of Inquiry Act of 1952 to constitute the inquiry panel.
The panel’s mandate encompasses a comprehensive examination of various facets of the allegations. This includes an assessment of whether projects received administrative approval in compliance with regulations, an evaluation of the quality of executed works, verification of the accuracy of project estimates, and an inquiry into the possibility of artificially inflated quantities in these estimates.
Furthermore, the panel has been entrusted with investigating whether Bills were cleared without corresponding work completion or if excessive payments were made for quantities beyond those initially approved.
The fairness of tendering rules and the potential existence of bias towards specific contractors will also be subjected to rigorous scrutiny.
In a proactive measure, the government has directed the inquiry commission to address any significant irregularities that may surface during the course of the investigation.
Notably, KSCA’s allegations of a 40 percent commission played a pivotal role in the political landscape, becoming a potent tool for the Congress against the incumbent BJP government during the 2023 Karnataka Assembly polls.
As a response to the perceived inaction of the Bommai government in ordering a probe into the commission allegations, despite contractors expressing their willingness to submit evidence, the Congress’ Karnataka unit, led by DK Shivakumar, had promised to launch a thorough investigation if voted to power.
(With PTI inputs)
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