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According to Lokayukta sources, Prashanth Kumar, who is the chief accounts officer of Bangalore Water Supply and Sewerage Board (BWSSB), was arrested from the state-owned Karnataka Soaps and Detergents Limited (KSDL), which manufactures the famous soap brand ‘Mysore Sandal Soap’.
Virupakshappa, who is an MLA from Channagiri in the Davangere district, is the chairman of the KSDL.
At least three bags of cash was found in the KSDL office, which has also been seized, they said.
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The accused had allegedly demanded Rs 81 lakh from the contractor, who approached the Lokayukta a week ago and then the trap was laid.
“The money was received on behalf of the KSDL chairman Virupakshappa for raw material procurement. The trap was laid at 6.45 pm. Chairman of KSDL and the accused, who received money, are father-and-son,” Lokayukta sources added.