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Union Minister H.D. Kumaraswamy Accuses Karnataka CM D.K. Shivakumar of Land-Deal Irregularities in the Nandi Infrastructure Corridor Enterprises (NICE) Road Project

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Core Event

On September 29 2026, Union Industries Minister H.D. Kumaraswamy released a dossier alleging Karnataka Chief Minister D.K. Shivakumar and his family profited from illegal alterations to the Bengaluru-Mysuru Infrastructure Corridor (BMIC), known as the NICE Road project. Kumaraswamy says the 1997 Framework Agreement (FWA) allocated 6,999 acres for the toll road and 13,194 acres for townships, but a 2004 Outline Development Plan (ODP) expanded the road area to 9,468.86 acres (some reports cite 9,488 acres) without fresh Cabinet approval. He further asserts Shivakumar’s family acquired 150-200 acres of land notified for the project, contributing to a rise in the chief minister’s declared wealth from roughly INR4 crore in 2003 to over INR1,400 crore in 2023.

Background & Context

The BMIC was conceived in the mid-1990s under a Build-Own-Operate-Transfer model. An MoU was signed in 1995 during the tenure of former Prime Minister H.D. Deve Gowda, then Karnataka chief minister. The 1997 FWA, approved by the state Cabinet, set the land-use parameters. In 2004, while serving as Urban Development Minister and chair of the BMIC Planning Authority, Shivakumar approved an ODP that altered the original alignment, increased road area, and re-allocated township parcels. The Karnataka High Court and the Supreme Court have previously ordered the project to conform to the original FWA.

Official Statements & Responses

Kumaraswamy contended that the 2004 ODP “substantially deviated” from the Cabinet-approved FWA, violating both the original decision and court orders. He called the alterations “a fraud on the Constitution” and urged criminal action against NICE promoter Ashok Kheny and the chief minister.

Shivakumar rejected the claims as “lies,” emphasizing that his assets are legally declared and that he has faced scrutiny from the Income Tax Department, Election Commission, and Enforcement Directorate. He questioned why Kumaraswamy remained silent for two decades and suggested the allegations stem from political rivalry. He also defended the 2007 cabinet decision that barred the developer from selling or alienating land, arguing that subsequent sales were unrelated to his actions.

Criticism & Opposition

Shivakumar highlighted that the original MoU was signed by his father, H.D. Deve Gowda, and that any later changes cannot be solely blamed on him. He accused Kumaraswamy of using “frustration” and “jealousy” to fuel the accusations, noting that the chief minister’s wealth growth includes a INR5 crore investment in Sobha Developers that appreciated over time. He challenged the demand for resignation, saying concrete evidence should be submitted to authorities rather than aired at press conferences.

Conflicting Reports & Gaps

  • Road-area figures: 9,468.86 acres vs. 9,488 acres.
  • Land-acquisition details: “150-200 acres” vs. “22 acres” in joint-venture documents.
  • No independent audit of the BMICPA’s ODP has been publicly released.

What’s Next

Kumaraswamy announced a visit on October 2 to more than 50 villages affected by land acquisition, intending to meet farmers and assess compensation gaps. He also indicated that further documents will be released as part of an ongoing “Part 1” disclosure series. No formal legal proceedings have been filed as of the latest reports.