SC order ends Reddy brothers' jubilation

NEW DELHI: In a setback to Karnataka’s Reddy brothers, the Supreme Court on Thursday ordered a halt to mining in the Bellary reserve forest on the Andhra Pradesh-Karnataka border.

It took the bench comprising Chief Justice K G Balakrishnan and Justices B Sudershan Reddy and P Sathasivam just five minutes to stay the order of the Andhra Pradesh high court, which had allowed mining activity to continue in the Bellary disputed reserve forest area, on an appeal by the state government. "The HC order has to be stayed,” it said.

The stay on mining activity by the Obalapuram Mining Company Ltd, Y M & Sons and Anantpur Mining Corporation in Andhra Pradesh, would continue till the matter is taken up for a detailed hearing on January 4. The apex court’s high-level environmental panel had alleged that the area fell inside or in close proximity of the Bellary Reserve Forest area.

The state government had on December 7 asked the mine owners to stop mining activity, within days of the Supreme Court’s Central Empowered Committee (CEC) submitting a report accusing the Reddy brothers’ firms of indulging in large-scale illegal mining seriously endangering the environment.

However, the Reddys challenged this before the high court, which allowed them to continue with mining operations except within 40 metres proximity of boundaries of the Bellary reserve forest. It had also asked the state government to undertake demarcation of the mine lease area and evict lease owners in the areas which had been encroached.

The CEC also recommended imposition of exemplary cost on mine owners and alleged that the state government had turned a blind eye to illegalities by the mine lease owners mainly because of business partnership of Obalapuram Mining Company Pvt Ltd managing director Janardhan Reddy, a cabinet minister in Karnataka government, with the son of former AP chief Minister Y S R Reddy and Congress MP Jaganmohan Reddy.

The Supreme Court panel’s report is being quoted by the TDP and other Opposition parties, which are planning to launch a campaign against illegal mining.

The CEC had said mining activity should immediately be suspended at three iron ore mines operated by OMC and three others - Bellary Iron Ore Pvt Ltd (BIOP), Y M & Son, Anantapur Mining Corporation. The empowered committee was constituted by the Supreme Court following a writ petition filed by Tapal Ganesh of Bellary against the OMC over its alleged illegal activity in violation of the Forest Conservation Act.