In a strong rebuke to the Enforcement Directorate (ED), the Supreme Court on Monday upheld the Karnataka High Court’s decision to quash ED summons issued to B.M. Parvathi, the wife of Karnataka Chief Minister Siddaramaiah, in the controversial Mysuru Urban Development Authority (MUDA) land allotment case. The top court also warned the ED against being misused for political purposes.
Supreme Court criticises ED's political role
The apex court, led by Chief Justice of India BR Gavai and Justice K Vinod Chandran, sharply criticised the ED's actions, stating that the agency should not be used to fight political battles. During the hearing, CJI Gavai remarked: "Let political battles be fought before the electorate. Why are you being used for it?"
He even hinted at making “harsh comments” about the ED, recalling his experience in Maharashtra. Seeing the court’s firm stance, Additional Solicitor General S.V. Raju, appearing for the ED, withdrew the appeal.
Background: MUDA land allotment controversy
The case revolves around alleged irregularities in the allotment of 14 land plots by MUDA in Karnataka. ED had sent summons to Parvathi Siddaramaiah and State Minister Byrathi Suresh as part of a money laundering investigation. The agency suspected misuse of power and illegal gain through these land transactions.
However, in March 2025, the Karnataka High Court quashed the ED summons, citing a lack of evidence and legal grounds to proceed under the Prevention of Money Laundering Act (PMLA).
Parvathi's defence: No financial gain, all plots surrendered
In her response before the High Court, Parvathi Siddaramaiah argued that she had voluntarily surrendered all 14 plots and had not benefited from any “proceeds of crime.” Her legal team maintained that there was no illegal possession or monetary gain, rendering the ED summons baseless.
The High Court agreed with this view, ruling that mere possession or allotment—especially if later surrendered—does not establish a predicate offence under the PMLA.
What Supreme Court said
The Supreme Court affirmed the High Court's reasoning, with CJI Gavai stating: "We do not find any error in the reasoning adopted by the single judge. In the peculiar facts and circumstances, we dismiss the appeal."
He even added in a lighter tone to the ED counsel, “We should thank you for saving some harsh comments.”
The judgment offers not only personal relief to CM Siddaramaiah’s family but also serves as a caution against the politicisation of investigative agencies. It renews concerns over alleged misuse of ED and CBI to target political opponents in non-BJP-ruled states.
