Supreme Court Issues Notice To Karnataka Dy CM DK Shivakumar On CBI's Plea In Disproportionate Assets Case

A bench of Justices Aniruddha Bose and Bela M Trivedi was hearing a special leave petition filed by the CBI against a June 2023 order of the Karnataka High Court temporarily staying the sanction granted by the state government to investigate the Congress leader’s role in a corruption case arising out of allegations regarding disproportionate assets.

During today's hearing, Additional Solicitor-General SV Raju told the bench that after the conclusion of almost 90 percent of the CBI investigation, a stay order was issued by the high court "on the basis of a false statement made in an affidavit". Acceding to the central agency's request, the Justice Bose-led bench issued notice, seeking the responses of the deputy chief minister and other respondents. However, the court categorically refused to stay the high court order that has been challenged. In view of the other side not being represented yet, Justice Bose said, "We are not staying it ex-parte."

The bench pronounced the following order at the end of the brief courtroom exchange: "Issue notice returnable on Nov 7."

Background

The interim stay order challenged in the Supreme Court arose in a Rs 74 crore disproportionate assets case against DK Shivakumar, in which the Central Bureau of Investigation had initiated an investigation in September 2019 after receiving sanction from the then BS Yediyurappa-led government. This was based on a 2017 Income Tax raid on Shivakumar’s offices and a subsequent probe by the Enforcement Directorate (ED). In October 2020, the Congress MLA was booked by the CBI under the Prevention of Corruption Act.

Shivakumar moved the Karnataka High Court challenging the sanction and proceedings against him. In April, a single judge bench dismissed his petition, but during the course of the hearing, granted the Karnataka Pradesh Congress Committee chief temporary relief by staying the CBI probe on multiple occasions. These interim orders were challenged by the Central Bureau of Investigation in a separate special leave petition, but the Supreme Court in July refused to entertain the central agency’s plea arising out of ‘purely interlocutory’ orders.

In April, Justice K Natarajan of the Karnataka High Court ultimately dismissed Shivakumar’s plea leading to the legislator filing an appeal before a division bench of the high court. A bench of Chief Justice Prasanna B Varale and Justice MG S Kamal is currently hearing Shivakumar’s appeal. In June, the order of the single-judge bench was stayed by the division bench of the Karnataka High Court.

Case Details

Central Bureau of Investigation v. DK Shivakumar | Special Leave Petition (Criminal) No. 9097 of 2023

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