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ED Opens FEMA Probe as Karnataka Rules Out NIA in Dharmasthala Case

State leaders reaffirm the SIT’s lead following the launch of a FEMA inquiry into alleged NGO funding.

Overview

  • The Enforcement Directorate began a preliminary investigation under FEMA, seeking five years of bank records and foreign deposit details linked to NGOs Odanadi and Samvada.
  • Karnataka Home Minister G. Parameshwara said the state will not hand the criminal case to the NIA and noted the government cannot block the ED’s separate financial inquiry.
  • The BJP staged a large 'Dharmasthala Chalo' rally demanding an NIA or CBI takeover, while Chief Minister Siddaramaiah accused the party of politicising the issue.
  • The SIT, formed in July, has excavated multiple locations along the Netravathi and reported skeletal fragments at two sites after the arrest of whistleblower C.N. Chinnaiah for alleged perjury and fabrication.
  • Police said cases were registered against activists Girish Mattannavar and Mahesh Shetty Thimarody over videos accused of disturbing communal harmony, as central and state probes examine financial and narrative links.