Following allegations against him in connection with the scam, Nagendra, who was Scheduled Tribes Welfare Minister, tendered his resignation on June 6.

The ED conducted searches at multiple places allegedly linked to former Karnataka Minister B Nagendra and MLA Basanagouda Daddal in connection with the illegal money transfer case in state owned corporation.

Amid allegations of involvement in an illegal money transfer case, Karnataka's Deputy Chief Minister announced the resignation offer of Minister B Nagendra, prompting opposition protests and demands for further resignations, while investigations continue into the multi-crore scam involving funds meant for Scheduled Tribes welfare.