 | « Back to article | Print this article |
CBI digs up mining baron Reddy's dirty secrets
Karnataka's mining baron, Janardhan Reddy is in trouble. The chargesheet filed by the Central Bureau of Investigation has suggested that Reddy earned Rs 4,300 crore through illegal mining.
The chargesheet notes that Reddy conducted mining operations illegally in Karnataka on the licence granted by the Andhra Pradesh government in the name of the Obulapuram Mining Company.
It also states that he had excavated iron ore to the tune of 40,387 tonnes illegally.
Further, it is stated that Reddy used his influence in the political circles in Andhra Pradesh to get the licence and silence rival applicants such as Konda Reddy.
Click on NEXT to read further...
CBI digs up mining baron Reddy's dirty secrets
As per the CBI chargesheet, the Obulapuram Mining Company exported iron ore of Karnataka origin. However, as per the permits database, no permits were issued to OMC from the Director of Mines & Geology, Karnataka.
As per the available data, the total exports of iron ore of Karnataka origin by OMC during 2006-07 to 2010-11 is 71,61,455 MT, which includes 21,44,789 MT from the Chennai Port. The total exports of iron ore of Andhra Pradesh origin by OMC from Chennai between 2006-07 and 2010 (till Dec) is 2,17,660 MT only.
While the CBI states that the money that had been earned through illegal mining was used to buy various things, including a chopper, it had also been found that the money was parked at tax havens abroad.
The losses that the government incurred was to the tune of Rs 215 crore.
Click on NEXT to read further...
CBI digs up mining baron Reddy's dirty secrets
The chargesheet also speaks about the nexus Reddy had with powerful personalities from Andhra Pradesh.
It states that he had entered into a nexus with many officials in the Industries and Commerce department to ensure that he obtained the lease for an area of 68.5 and 39.5 hectares of land.
CBI sources say that the case would require more time to investigate. The agency has questioned several persons from both Karnataka and Andhra Pradesh in connection with the case.
It is, however, unclear if the agency would make more arrests in connection with this case.
Click on NEXT to go further...
Other TOP photo features
Click on MORE to see another set of PHOTO features...