Multi-crore iron ore scam: Ex Commerce & Industries Principal Secy, 3 others held by CBI

BANGALORE: CBI probing the alleged multi-crore iron ore scam today arrested former Commerce and Industries Principal Secretary Viswanathan and three others for their reported role in it.

The other two arrested are the CEO of Deccan Mining Syndicate Private Limited, its Managing Director and former Sandur Circle Inspector, a Delhi-based CBI official told.

All of them would be produced before the CBI Special Court tomorrow, the official said.

The official, however, refused to give further details. On May 27, former Karnataka Minister and mining baron G Janardhan Reddy and six others were chargesheeted by CBI in a court in connection with alleged illegal mining of iron ore from mines and forest areas in Bellary district and surrounding areas in 2009-10, which caused 'wrongful loss' of Rs 198 crore to the exchequer.

CBI had booked Reddy, his personal assistant M Ali Khan, the then Deputy Conservator of Forest, Bellary, S Muthiah, the then Deputy Director of Mines and Geology, S P Raju, the then Conservator of Forests, Manoj Kumar Shukla and one Nagaraj and K Mahesh for alleged criminal conspiracy.

The agency has taken up the investigations on the directives of the Supreme Court. The apex court had appointed a Central Empowered Committee (CEC), which recommended an in- depth investigation of the mining and exports of the ore.

The CEC had recommended that CBI investigate all aspects of the illegalities associated with raising, transportation, sale and purchase, storage and disposal of about 3.4 million tonnes of iron ore exported from January 1, 2009 to May 31, 2010 by four exporters.