Judge N K Sudheendra Rao directed the Lokayukta Superintendent of Police to probe the complaint filed by industrialist Alam Pasha and submit a report by June 27.
Pasha had alleged in his complaint that the Karnataka Industrial Area Development Board had allotted him 26 acres for setting up an industry.
However, Yeddyurappa and Nirani cancelled the allotment on the basis of a forged letter that he has sought cancellation, Pasha said in his complaint.
Yeddyurappa is already facing a spate of corruption cases and a CBI probe into illegal mining during his tenure as Chief Minister.