It can be noted that MUDA was in the news in 2024 and 2025, as the names of former chief minister Siddaramaiah and his family members were involved in the allotment of 14 sites to his wife, B M Parvathi, under the 50:50 ratio as compensation for alternative land. Incidentally, the present Urban Development Minister is Siddaramaiah's son Yathindra.

Secretary for Urban Development (Urban Development Authorities and Town Planning) K Latha issued an order on Wednesday (August 19, 2026), following the recommendations of the single-member inquiry commission and a report by a high-level technical committee, with directions to the Deputy Commissioner of Mysuru and MDA Chairman, Commissioner for Urban Development Authorities, and MDA Commissioner.

Meanwhile, Minister Yathindra issued a statement saying that the government had ordered the immediate cancellation of all 50:50 scheme alternative sites allotted by the MDA in violation of the March 14, 2023, directives.

The five directives issued on Wednesday are: Immediate nullification of all 50:50 site allotments made in violation of government guidelines; filing of civil suits to cancel already-registered sale deeds executed at sub-registrar offices; withholding the execution of new sale deeds for pending cases until clear government guidelines are issued; direction to Mysuru City Corporation, town municipal councils and gram panchayats to halt new khata issues, while revoking existing khatas under the Karnataka Municipal Corporations Act, 1976, Karnataka Municipalities Act, 1961, and Karnataka Gram Swaraj and Panchayat Raj Act, 1993.

Yathindra said the government had ordered the cancellation of approximately 1,100 sites, with an estimated value of Rs 2,000 crore. "While allotments made after March 14, 2023, in violation of rules have been scrapped in the first phase, the government will review pre-March 14, 2023, allotments in the second phase and take stern action, if irregularities are found," the minister stated.

Complainant in the MUDA case, activist Snehamayi Krishna, welcomed the government order and described it as a victory for justice.

"It can be recalled that Devaraju sold a piece of land to B M Mallikarjuna Swamy on August 25, 2004. It was converted from agricultural land to non-agricultural land later. On October 6, 2010, Mallikarjuna Swamy gifted the land to his sister, ex-chief minister's wife Parvathi. Parvathi submitted representations to MUDA from 2014, seeking compensation for the said land acquired by MUDA. On December 12, 2021, the then MUDA Commissioner D B Natesh allotted 14 sites in an alternative developed area under the 50:50 ratio," said Krishna.

It can be noted that Parvathi returned all 14 sites to MUDA on October 3, 2024, following the complaint and probes. However, the special court in Bengaluru dealing with cases involving elected representatives accepted the B Report filed by the Lokayukta Police in the case on January 29, 2026.