A political controversy has emerged in Karnataka after it came to light that the government led by former Chief Minister Siddaramaiah had given preliminary approval for grants worth ₹71.8 crore to 155 organisations belonging to various Other Backward Classes (OBCs). The approval was issued on 3rd June, the day Siddaramaiah demitted office and DK Shivakumar took charge as Chief Minister.
The grants were meant for the construction of community halls and student hostels. However, the order drew criticism after details of the beneficiaries circulated on social media. Many questioned why organisations from the Kuruba community received more than ₹41 crore from the total sanctioned amount. Questions were also raised over a ₹50 lakh sanction to the Rakesh Siddaramaiah Trust in Gadag, named after Siddaramaiah’s late son.
Why did Kuruba organisations get a larger share?
Responding to the criticism, Siddaramaiah said the approvals were only preliminary sanctions and not the actual release of funds. He explained that a larger number of applications had been submitted by Kuruba organisations, which resulted in a higher allocation for the community.
He also pointed out that organisations from several other communities received approvals, including Madivala, Lingayat, Vokkaliga, Besta, Balija, Golla, Jetti, Kumbara, Arasu, Helava, Savita Samaja, Uppara, Ganiga, Kuruhina Shetty, Halakki and Reddy groups.
Funds yet to be released
According to Siddaramaiah, the beneficiary list is still not final, and applications from other OBC organisations are under review. He said the government follows a fixed reservation formula under which 70% of funds are earmarked for Categories I and II-A. In comparison, the remaining 30% is reserved for Categories III-A and III-B.
Before receiving final funding, organisations must provide land ownership documents, building licences from local bodies and audited financial statements for the previous three years through district commissioners. The funds will then be released in three stages after annual reviews of construction progress.
Siddaramaiah rejected claims of discrimination or favouritism, saying the allocations were made according to applications received and existing government guidelines.
