In a major setback for the Karnataka Lokayukta police, the special court handling corruption cases has discharged Prashanth Kumar M.V. (also known as Prashanth Madal)—finance adviser and principal accountant of the Bengaluru Water Supply and Sewerage Board (BWSSB)—and Surendra S, another accused, from all corruption charges.
The two were arrested on March 2, 2023, after Lokayukta police seized ₹40 lakh from the office of Unisquare Builders and Developers, allegedly linked to a bribe taken for facilitating tenders, purchase orders, and bill clearance for Chemixil Corporation. The complainant, Shreyas Kashyap, had supplied perfumery materials to Karnataka Soaps and Detergents Ltd, then chaired by Prashanth’s father, former MLA Madal Virupakshappa.
However, on April 7, Judge K.M. Radhakrishna ruled that there was no sufficient basis to frame charges under Sections 7(A) and 12 of the Prevention of Corruption Act, granting both accused a discharge. The court ordered that the ₹40 lakh be confiscated by the state, provided the state has already reimbursed that amount to the complainant.
The judge clarified that mere possession of money, without proof of demand or direct link to a bribe, does not constitute corruption. Citing rulings from higher courts, he emphasized that Surendra’s connection to the money was unclear, as he was employed by Unisquare and not under Prashanth’s authority. Prashanth maintained that the money belonged to his brother’s gutkha business, and no documents directly tied it to wrongdoing.
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