The Karnataka High Court on Wednesday granted bail to Dinesh Kumar, former commissioner of the Mysuru Urban Development Authority (MUDA), in a money-laundering case registered under the Prevention of Money Laundering Act (PMLA). The court observed that despite the proceedings being 275 days old, the case remains at the pre-cognisance stage, indicating no significant progress.
Bail Granted Due to Lack of Progress
Justice M. Nagaprasanna, while granting bail, noted that the investigation has not moved beyond the initial stage. The court stated that keeping the accused in custody for an extended period without substantial progress would be unjust. The Enforcement Directorate (ED) had opposed the bail, citing the seriousness of the allegations and the need for further investigation.
Dinesh Kumar was arrested in connection with alleged irregularities in land allotments by MUDA, which led to disproportionate assets and money laundering. The ED claimed that Kumar amassed wealth through illegal means and laundered the proceeds.
Court Observations and Conditions
The High Court observed that the right to a speedy trial is a fundamental right under Article 21 of the Constitution. Since the case has not even reached the cognisance stage, the court found no justification for continued detention. Bail was granted on conditions, including the surrender of his passport and a personal bond of Rs 10 lakh with two sureties.
The court also directed Kumar not to tamper with evidence or influence witnesses. He must appear before the investigating officer as required and cannot leave the country without prior permission.
Background of the Case
The case stems from a 2023 complaint alleging that Dinesh Kumar, during his tenure as MUDA commissioner, illegally allotted prime land to himself and his relatives. The ED registered a money-laundering case based on the FIR filed by the Karnataka Lokayukta police. The alleged scam involves land worth several crores of rupees.
The ED had argued that Kumar's release could hamper the investigation and that he might flee. However, the court noted that the ED had not shown any specific instances of tampering or flight risk.
This development is seen as a relief for Kumar, who had been in custody since his arrest in October 2025. The bail order is likely to be challenged by the ED in the Supreme Court.
