B'lore: Reddy Brothers Win Round One as AP High Court Quashes Stay on Mining

From Our Special Correspondent
Daijiworld Media Network - Bangalore

Bangalore, Dec 11: The all powerful Bellary Reddy brothers, who had been cornered by the CBI probe ordered by the Centre into the alleged illegal mining activities by six mining companies, including Obulapuram Mining Company (OMC) owned by them, have won the first round with the Andhra Pradesh high court vacating the stay granted by the state government against their mining operations.

CBI team arrives at OMC office in Bellary for second day search on Friday, December 11.

A single-judge bench of Andhra Pradesh high court comprising Justice L Narasimha Reddy on Friday quashed the stay granted by the Andhra government headed by Congress chief minister K Rosaiah against the mining activities and transport of iron ore by OMC and other five companies as ``illegal.’’

The stay orders issued by the Andhra government following the submission of the Central Empowered Committee’s report to Supreme Court on the alleged illegal mining activities without issuing any show cause notice or citing the grounds was untenable, the court held.

The high court held that OMC was free to lift the 1.95 lakh tonnes of iron ore stocks and dispose of as per the prescribed norms by paying the stipulated fees,

The high court stated that the CEC had acted beyond its purview and had finalized its report without providing an opportunity to the respondents to respond to the alleged charges and stayed the different orders issued by government and the Environment and Forest ministry against OMC.

The court also permitted the OMC to resume mining activities including transportation of ore stocked at the mining-yard. Armed with the court order, the company resumed operations after offering pooja at the mining field.

The OMC managing director Srinivas Reddy, who circulated copies of the Andhra Pradesh high court orders to the press in Bellary before the commencement of the mining activities, said the company’s stand has been vindicated.

"We have faith in the judiciary and the legal system. God and justice are on our side. We will come out clean from the illegal, atrocious, vindictive and malafide actions of both Andhra Pradesh government and the Centre,’’ he said

Meanwhile, OMC Chairman and Minister for Tourism and Infrastructure Development, G Janardhan Reddy, who briefed media in Bellary, said the stay order by the Andhra Pradesh Government and the Centre were politically motivated.

"The court order had come as a morale booster to us and others carrying out mining legally,’’ he said claiming that he was not afraid of the CBI inquiry or the raids against various companies owned by the family.