The credibility of the Karnataka Lokayukta—a body tasked with upholding integrity in governance—is now under serious question as it continues to evade disciplinary action against its officer, SP Srinath M. Joshi, despite mounting evidence linking him to a sensational extortion racket involving crores of rupees and cryptocurrency investments.
The case centres around Ningappa, a dismissed head constable and self-proclaimed member of the Congress party organisation, who was arrested for extorting money from government officials in the name of Lokayukta officers. What began as an isolated financial fraud has now exposed troubling links within the system, raising concerns about political protection, institutional failure, and systemic corruption.
No action, only a quiet transfer
While the Lokayukta Police Department officially acknowledged that Ningappa had extorted money from Excise Department officials over the last six months and had even admitted to investing funds in crypto wallets under his and his relatives’ names, the Lokayukta’s response to SP Srinath Joshi’s involvement has been muted and questionable.
Despite Ningappa’s confession and evidence of Joshi’s crypto dealings and meetings with the accused—including facilitating a meeting with Excise Minister R.B. Thimmapura—no suspension or formal inquiry has been ordered against Joshi. Instead, the Lokayukta merely relieved him from his post; a move critics say is aimed at burying the case rather than seeking justice.
The lack of action has cast a dark shadow on the institution’s impartiality, triggering strong criticism from anti-corruption activists and legal observers alike.
Suspicious connections, unanswered questions
Investigators have reportedly uncovered that Ningappa met SP Joshi at least 7 to 8 times over two years, including visits to Joshi’s residence and office. On New Year’s Day and Joshi’s birthday, Ningappa is said to have personally met the officer. More alarmingly, the accused had even proposed Joshi’s transfer to the post of DCP in the CCB, which Joshi allegedly considered on the condition of receiving the DCP-1 position.
There is also documented proof that Joshi gave Rs 14 lakh in cash to Ningappa for an investment in a crypto project named PLC Ultima, which Ningappa later used to fund his 7-day trip to Dubai in April 2024. Despite this, no FIR or official complaint has been registered against Joshi, and no competent authority has been approached for necessary suspension procedures.
A search was conducted at Joshi’s residence, and a BNSS Section 35(A) notice was served, asking him to appear for a hearing. However, his name was not in the FIR, and no clear charge was cited. Joshi subsequently moved the Karnataka High Court, which stayed the notice—a development that further complicated the investigation. The next hearing is scheduled for June 30.
Institutional inaction or political cover-up?
The inaction has fueled suspicions of political shielding, particularly given Ningappa’s ties to the Congress party’s organisational wing. His ability to move freely, meet ministers, and mediate transfer deals while impersonating a Lokayukta liaison has exposed glaring loopholes in both government accountability and internal oversight mechanisms.
In addition to implicating SP Joshi, Ningappa has named 35 other officers. Reports suggest that the money collected—often Rs 1 lakh per officer per month—was handed over using coded language and drop-off points, including Bengaluru’s Vijayanagar Metro Station, MG Road, and the old JDS office.
Even more damning is the revelation that three personal secretaries of a minister were also involved in facilitating transactions.
This isn’t the first time the Karnataka Lokayukta has faced an integrity crisis. During Siddaramaiah’s first term as Chief Minister, Lokayukta Bhaskara Rao and his son Ashwin Rao were embroiled in a bribery-for-transfer scandal that led to Bhaskara Rao’s resignation and Ashwin’s arrest. That incident led to the curtailing of Lokayukta’s powers and the formation of the now-defunct Anti-Corruption Bureau (ACB).
Now, as Siddaramaiah marks two years into his second term, history appears to be repeating itself, with another Lokayukta scandal eroding public trust in anti-corruption institutions.
