SIT to probe allegations by Covid panel: Karnataka Cabinet

The cabinet, chaired by chief minister Siddaramaiah, on Thursday announced its decision to form a special investigation team (SIT) to probe allegations of misuse of funds and resources intended for Covid-19 pandemic relief efforts. The decision follows the submission of an interim report by justice Michael D Cunha commission.
Law and parliamentary affairs minister HK Patil said that the SIT would conduct an in-depth investigation, file FIRs and charge sheets where applicable. He said SIT would identify offenders and pursue appropriate legal actions to hold them accountable.
“SIT will be headed by an officer of the rank of inspector general of police and it will solely deal with the irregularities the report has highlighted. SIT would in no way be entrusted with the task of recovery but would refer recovery matters to a separate agency within the department of revenue as it as it pertains to revenue dues,” he said.
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The investigation by SIT will also cover the purchase of expired medicines, transactions with blacklisted companies, and reported efforts to limit legislative oversight by restricting access to key records, he said.
Chief minister Siddaramaiah is expected to appoint SIT officials soon, Patil added.
This comes after the government recently revealed findings from the justice Michael D’Cunha commission, suggesting the prosecution of former BJP chief minister BS Yediyurappa and ex-health minister B Sriramulu for alleged corruption in the Covid-19 procurement process.
The commission’s report identified significant procurement irregularities, including a 300,000 PPE kit purchase from two Chinese suppliers at rates above ₹2,000 per kit, bypassing standard tender protocols. The commission alleged that these actions favoured specific suppliers connected to Yediyurappa and Sriramulu.
The report alleged substantial misuse of funds, including inflated costs for PPE kits — procured at ₹2,117 per kit, compared to an average price of ₹330 — as well as purchases of expired medicines and dealings with blacklisted companies. It also noted an attempt to obscure the matter from the legislature’s public accounts committee, reflecting grave issues in managing pandemic resources.
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“The procurement was made purely on the directions of the CM and the Health Minister, GoK, without following the basic procurement rules and procedures,” the report stated. It further alleged that Yediyurappa and Sriramulu abused their positions to benefit the suppliers. The commission has recommended prosecuting both leaders under sections 7 and 11 of The Prevention of Corruption Act, 1988, and for criminal breach of trust. The report also called for disciplinary action against public officials involved in the transaction.
In another decision, the cabinet addressed illegal mining cases, noting that out of nine cases previously referred to the central bureau of investigation (CBI), six were declined. These cases will now be transferred to the state’s SIT dedicated to illegal mining investigations.
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The cases involve unauthorised mineral shipments at major ports such as Marmugoa, Ennore, Chennai, and New Mangalore. Minister Patil highlighted that SIT’s role would include securing documentation to facilitate ongoing investigations.
During the meeting on Thursday, the Cabinet also decided to assign 10 ”Category C” mining leases, identified as operating outside approved boundaries, to the SIT for further examination. Key companies under scrutiny include Mysore Manganese Company and Anjana Minerals, which are accused of violating environmental regulations.