The Lokayukta extortion case has taken a politically explosive turn, with direct allegations now pointing toward the Congress government in Karnataka. Despite the arrest of the accused, Ningappa, openly naming Excise Minister RB Thimmapura, both the party and the state government have chosen silence—raising serious questions about political complicity.
Ningappa, the main accused in the high-profile extortion case, is not only a former police constable but also a self-proclaimed member of the Congress party organisation. His close links to ruling party figures, particularly Excise Minister Thimmapura, are now under intense scrutiny. Sources reveal that Ningappa facilitated a meeting between Lokayukta SP Srinath Joshi and Minister Thimmapura regarding a transfer issue—an interaction that has sparked widespread political debate.
Even after being dismissed from service, Ningappa reportedly used his Congress credentials to wield influence over bureaucrats, presenting himself as a party insider. It is also emerging that he had deep connections to hawala and cryptocurrency transactions. He is said to have collected money from multiple officials—especially from the Excise Department—over the past six months, claiming it was on behalf of the Lokayukta.
Crypto trail and ministerial links
According to an official press statement released by the Lokayukta Police, Ningappa admitted to collecting large sums from at least 8 KAS officers and investing that money in 13 cryptocurrency wallets—all of which have now been frozen. He had also allegedly received Rs 14 lakh in cash from SP Srinath Joshi under the pretext of investing in a dubious crypto project named “Ultima Coin.”
Investigations also revealed that Ningappa arranged hawala transactions, converting rupees into dollars through operators in Bengaluru’s Jayanagar before investing the money in digital currencies. In April 2024, he reportedly travelled to Dubai on a week-long crypto-sponsored trip, raising further questions about international financial links.
Pattern of bribery and intimidation
Ningappa’s operations allegedly involved collecting over Rs 1 lakh per month from Excise Deputy Commissioners in exchange for protection and influence. Locations like MG Road, Vijayanagar Metro Station, Jeevan Bhima Nagar, and even the old JDS office were used for these transactions.
Over 100 excise officials are believed to be complicit in this alleged scam. It is reported that after a parallel Lokayukta investigation was launched against certain excise officers, several of them—who were previously paying off Ningappa—turned against him. But by then, the damage had been done.
This scandal bears a striking resemblance to the earlier Lokayukta corruption case during Chief Minister Siddaramaiah’s first tenure, in which Lokayukta Bhaskara Rao and his son, Ashwin Rao, were arrested on bribery charges, ultimately forcing Bhaskara Rao’s resignation. That controversy led to the dilution of the Lokayukta’s powers and the formation of the now-defunct Anti-Corruption Bureau.
Now, as Siddaramaiah completes two years in his second term, the fresh scandal threatens to undermine public faith in anti-corruption institutions once again. With Minister Thimmapura already facing prior allegations of corruption in officer transfers, the BJP and other opposition parties are intensifying their calls for his immediate resignation and a high-level judicial probe.
