Valmiki corpn. scam: If anyone has to resign, it is Nirmala Sitharaman as banks come under her, says CM

Launching a counter-attack on the BJP-JD (S) combine that has been demanding his resignation over financial irregularities in Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd., Chief Minister Siddaramaiah on Friday argued that if anyone has to resign over it, then it has to be Union Finance Minister Nirmala Sitharaman, as the national bank through which the irregularities took place came under the Union Finance Ministry.

Launching a counter-attack on the BJP-JD (S) combine that has been demanding his resignation over financial irregularities in Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Ltd., Chief Minister Siddaramaiah on Friday argued that if anyone has to resign over it, then it has to be Union Finance Minister Nirmala Sitharaman, as the national bank through which the irregularities took place came under the Union Finance Ministry.

The Chief Minister made this argument both inside the Legislative Assembly and also at a press conference which he addressed later.

“The Opposition and ED [Enforcement Directorate] are only trying to sully my image and defame my government by unnecessarily blaming me. I am no way connected with the decision-making process of the corporation as it does not come under the portfolios being held by me,” he maintained.

“I am not saying that irregularities have not taken place in the corporation. But we will take strict action against whoever is involved in these irregularities after the completion of the ongoing probe,” he said at the press conference.

He argued that even the Union Bank, in its complaint before the CBI, had blamed its own officials as responsible for embezzlement of funds as they had failed to verify the authenticity and identity with respect to several issues, including the change in mobile number and email ID. It would have been possible to avert the diversion of funds if the bank staff were vigilant, he said.

Mr. Siddaramaiah said the corporation managing director had the power to withdraw money from its official account in the bank without his permission.

“They have to inform the Finance Department later. But without the knowledge of the Finance Department, they have gone ahead with the diversion. Though they were supposed to get an approval for an action plan, they have come out with a fabricated resolution from the board on the action plan, though the board did not meet,” he alleged.