GJ Reddy, aides remanded to CBI custody till March 14

BANGALORE: Jailed mining baron and former minister G Janardhana Reddy,his close associate Mehfuz Ali Khan and four other aides were produced before the CBI court at the central prison here today in connection with an iron ore scam and remanded to CBI custody till March 14.

Reddy and Khan were brought here from Chanchalaguda jail in Hyderabad where they are being tried in the Obulapuram Mining Company case.

The other four aides -- government officials S Muthaiah, S P Raju, Swastik Nagaraj and Karapudi Mahesh -- were produced from the Parappana Prison itself where they have been lodged.

While Muthaiah and Raju are already in prison in connection with alleged irregularities in Reddy's mining firm Associated Mining Company, the other two were arrested by CBI investigating the Belekeri iron ore scam earlier this month.

The court meanwhile directed CBI to question the accused in the presence of their counsels and warned it against using third degree methods.

Earlier speaking to reporters from the police vehicle in which he was being brought, Reddy dubbed the CBI as "Congress Bureau of Investigation" and alleged that the party was foisting false cases against him.

CBI sources said investigation into the Belekeri iron ore ore scam was subsequent to a Supreme Court directive in Sept 2012.

On Sep 7, 2012, the Apex Court had ordered a CBI probe into illegal extraction of 50.7 lakh metric tonnes of iron ore in 17 months from Karnataka forests,the Supreme Court had asked the state government how its agencies were unaware of the illicit mining on a massive scale going on in the state.