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This is an archive article published on April 14, 2016

Siddaramaiah is misusing his power as CM: B S Yeddyurappa on lab contract deal

"Its a big offence, legal action will be initiated," said Yeddyurappa, adding that Siddaramaiah is misusing his power as chief minister.

Siddaramaiah, Siddaramaiah son, siddaramaiah son lab deal, B S Yeddyurappa Former Karnataka chief minister B S Yeddyurappa.

Former chief minister of Karnataka and BJP state unit president B S Yeddyurappa on Thursday hit out at Bengaluru CM Siddaramaiah’s son Dr. Yathindra Siddaramaiah for allegedly awarding contract to a private firm to set up lab inside the premises of the government-run Bangalore Medical College and Research Institute (BMCRI).

“Its a big offence, legal action will be initiated,” said Yeddyurappa, adding that Siddaramaiah is misusing his power as chief minister.

Chief Minister Siddaramaiah and Dr P G Girish, special officer at BMCRI, however, denied any illegalities and claimed that the contract was awarded in a transparent manner through an open tender process. When contacted, Dr Yathindra offered to resign from the firm if there was any “violation of the code of conduct”.

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READ: Karnataka CM Siddaramaiah’s son gets a job, firm lands plum government contract

A year after it inducted Karnataka CM’s son, Dr Yathindra Siddaramaiah, 36, into its board of directors, a private medical diagnostic company in Bengaluru, Matrix Imaging Solutions Ltd, was awarded a plum project to set up a diagnostic laboratory inside the premises of the government-run Bangalore Medical College and Research Institute (BMCRI).

According to RoC records, Matrix Imaging was set up in October 2009 by two partners, Ramesh Gowda C M and Satish Prasad. The company inducted Dr Yathindra as a director on September 8, 2014, and Satish Prasad stepped down soon after. Despite being set up in 2009, the company reported revenues only in 2012-13 (Rs 2.77 crore) and 2013-14 (Rs 3.12 crore). There are no filings for 2014-15.

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