# B Nagendra Offers to Step Down from Karnataka Cabinet Over Valmiki Scam as Shivakumar Seeks High Command Advice

> Amid political turmoil over an alleged 89 crore rupee financial scam in the Valmiki ST Development Corporation, Karnataka Minister B Nagendra has offered to step down, pending consultations with the Congress high command.

**Type:** article · **Category:** Politics · **Published:** 2026-08-26 · **Source:** TrendKia
**Canonical:** https://trendkia.com/en/politics/valmiki-nigama-mamale-men-ghire-b-nagendra-ne-di-mntrimndala-chhorane-ki-peshakasha-shivakumar-alakamana-se-karenge-charcha-22253 · **Language:** English
**Tags:** Karnataka Politics, B Nagendra, Shivakumar, Valmiki Corporation Scam, Siddaramaiah, Congress Government, BJP Protest

Political turmoil in Karnataka has intensified over alleged financial irregularities within the Maharshi Valmiki Scheduled Tribes Development Corporation, leading Cabinet Minister B Nagendra to offer to step down from his post. The main opposition party, the BJP, has maintained relentless pressure on the state administration over the alleged scam, demanding the minister's immediate removal. In an effort to shield the government's image from further political fallout amid mounting opposition attacks, Nagendra voiced his willingness to exit the cabinet. Addressing the development, Shivakumar indicated that any final decision regarding Nagendra's proposal would be taken only after thorough consultations with the Congress high command.

## Legal Battle and Confidence of Rejoining the Cabinet
During high-level discussions with the leadership, Minister B Nagendra clarified his intention to submit his resignation while emphasizing his complete readiness to face the legal process. Nagendra expressed absolute confidence that he would successfully clear his name through formal investigation before taking back his ministerial responsibilities. In his communication with the Deputy CM, Nagendra stated that the SIT had cleared him, asserting that he would go through the complete judicial process to emerge untainted. Furthermore, he attributed the opposition's aggressive stance to political motives, alleging that the BJP is deliberately targeting him because the Congress party commands robust support among the Scheduled Tribes community and maintains significant representation of SC and ST leaders within the state cabinet.

## Origins of the Valmiki Corporation Financial Controversy
The controversy centers around alleged financial misconduct involving approximately 89 crore rupees within the Maharshi Valmiki Scheduled Tribes Development Corporation, which the BJP has seized upon to demand Nagendra's exit from governance. The scandal first escalated in May 2024 following the tragic suicide of the corporation's Accounts Officer, Chandrasekaran P. A note recovered after his death alleged that substantial corporate funds had been illegally transferred without mandatory administrative authorizations. Subsequent official inquiries substantiated that significant sums were indeed diverted from the corporation's primary accounts into unauthorized third-party bank accounts.

## Chronology of Previous Resignation and Subsequent Re-induction
The revelation of unauthorized money transfers and the death of Chandrasekaran P triggered widespread political anger against Nagendra, who was serving as the Tribal Welfare Minister during that period. Under heavy political heat from the opposition, Nagendra initially tendered his resignation from the Siddaramaiah cabinet in June 2024. However, following executive leadership changes when Shivakumar became Chief Minister, Nagendra was re-inducted into the state cabinet on August 3. That decision handed the BJP fresh leverage to question the ruling administration's anti-corruption credentials, culminating in the current standoff where Nagendra has once again offered to vacate his cabinet seat.

## What this means for you
- **Across India:** This development highlights the ongoing scrutiny over financial transparency and administrative oversight within state-run welfare development corporations.
- **In Karnataka:** The political standoff surrounding the alleged 89 crore rupee scam in the Scheduled Tribes Development Corporation may impact the administrative focus on tribal welfare schemes across the state.

## Questions & Answers

### 1. Why did Minister B Nagendra offer to resign from the Karnataka cabinet?
B Nagendra offered to step down to protect the government's image amid continuous opposition pressure over alleged financial irregularities in the Maharshi Valmiki Scheduled Tribes Development Corporation.

### 2. What is the alleged Valmiki Corporation scam amount?
The controversy involves alleged financial irregularities of approximately 89 crore rupees, where funds were reportedly transferred from corporation accounts without proper authorization.

### 3. How did the Valmiki ST Corporation controversy first come to light?
The controversy erupted in May 2024 following the suicide of Accounts Officer Chandrasekaran P, who left a note alleging unauthorized transfers of corporation funds to other accounts.

### 4. What was B Nagendra's statement regarding the SIT and his legal status?
B Nagendra stated that the SIT had cleared him and expressed confidence that he would face legal proceedings, prove his innocence, and rejoin the cabinet only after clearing his name.

### 5. What is Congress leadership's position on Nagendra's resignation offer?
Shivakumar stated that no final decision would be made on B Nagendra's resignation offer without consulting the Congress high command.

### 6. When was B Nagendra previously inducted into the cabinet after his June 2024 resignation?
After resigning from the Siddaramaiah cabinet in June 2024, B Nagendra was re-inducted into the state cabinet on August 3 after Shivakumar became Chief Minister.

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