Troublemakers of Karnataka feel the heat in Andhra

In a big setback to the Reddy brothers of Bellary, the Andhra Pradesh government on Tuesday decided to recommend a CBI inquiry into the alleged illegal mining activities in the Anantapur district.

HYDERABAD/NEW DELHI: In a big setback to the Reddy brothers of Bellary, the Andhra Pradesh government on Tuesday decided to recommend a CBI inquiry into the alleged illegal mining activities in the Anantapur district where Karnataka minister Galli Janardhana Reddy’s mining business is concentrated.

The decision to ask for a central probe against the mining barons, who were at the forefront of fomenting trouble for BJP in Karnataka recently, is significant as the Reddy brothers were considered close to the late Chief Minister YS Rajasekhara Reddy and his son Jaganmohan Reddy. Mr Jagan, a claimant for his father’s mantle, has close business ties with the Bellary brothers and the Reddy are said to have a stake in his media venture.

The AP government’s move is a response to the vociferous demand from all Opposition parties in the state as well as a section of the state Congress for a CBI probe into the serious charges against the Obulapuram Mining Company (OMC), owned by G Janardhana Reddy, for illegal iron ore mining, encroachment of forest land and other violations, including encroachment on other mines.

While the state asserts it has leased around 121 odd hectares to Obulapuram, it is learned that the Union Forest Ministry clearance is only for 78 hectares.

But, it will have serious implications for politics in the state as probe into the Reddy brothers’ mining business could expose Mr Jaganmohan Reddy to investigations as well.

Mr Jagan, a Congress MP from Kadappa, reacted swiftly to the news on Tuesday evening saying he had nothing to do with illegal mining in Anantapur.
ADVERTISEMENT

Earlier in the day, the state government decided to request the Centre to order a full scale probe by CBI as the investigative agency and Enforcement Directorate had already reportedly begun inquiring into the OMC allegations. Officials of Chief Minister K Rosaiah’s office said that a formal letter was also being written to the Centre seeking the CBI investigation.

Andhra Pradesh’s Opposition parties, led by the TDP, had intensified their protests on the issue over the last few weeks. TDP’s Chandrababu Naidu alleged that Mr Janardhana Reddy had changed the boundaries between Andhra Pradesh and Karnataka to engage in illegal mining.

TDP has kept up a severe attack on the Congress government in the state over the issue from the time YSR Reddy was the CM. The state government had given a clean chit to the Reddy brothers during his reign. The demand for a CBI probe was also supported by Congress MPs V Hanumantha Rao and Madhu Yashki.

After YSR Reddy’s death the campaign against the Reddy brothers once again picked up. TDP chief Chandrababu Naidu, who met Chief Minister K Rosaiah on the issue recently, said Centre as well as government of Andhra Pradesh and Karnataka were refusing to take action against illegal miners.
ADVERTISEMENT

Other Opposition parties in the state such as CPI, CPM, and Praja Rajyam Party have been demanding a CBI probe. The government had recently set up three different committees comprising officials of mining, forest and industries departments to inquire into the allegations in view of the mounting Opposition pressure.

TDP has alleged that a Rs 10,000 crore fraud was committed by Mr Janardhana Reddy with the active connivance of Congress’ top leaders, in a reference to YSR Reddy and his son. The matter has taken been taken up with urgency after a Anantapur divisional forest officer recently sent notices to the OMC asking it stop mining citing various violations.
Download
The Economic Times Business News App
for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App
for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
READ MORE
ADVERTISEMENT

LOGIN & CLAIM

50 TIMESPOINTS

More from our Partners

Loading next story
Business News › News › Politics › Troublemakers of Karnataka feel the heat in Andhra
Text Size:AAA
Success
This article has been saved

*

+