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SC wants CBI to probe mining link in Karnataka, Andhra Pradesh

September 23, 2011 17:27 IST

Favouring a Central Bureau of Investigation probe, the Supreme Court on Friday sought the agency's response on investigating the link between mining activities in Karnataka's Bellary district and Ananthpur in Andhra Pradesh allegedly involving the Reddy brothers.

"Essentially this court is prima facie satisfied with the material placed before it about the linkage of mining in Bellary and mining in Ananthpur District of Andhra Pradesh," a bench headed by Chief S H Kapadia said.

"We also prima facie found that material (ore) extracted by two companies, Associated Mining Company and Deccan Mining Syndicate is being routed through Obulapuram in Andhra Pradesh. It is for this reason we are issuing notice to the CBI. We want CBI to investigate this aspect of linkage," the bench said.

The court also directed the CBI to appraise it about the status of investigation it had undertaken against Reddy brothers' Obulapuram Mining Company pursuant to the registration of FIR by it.

The bench passed the order after perusing the September 21 report of the Central Empowered Committee regarding the survey and demarcation, e-auction and related issues pertaining to the mining leases in districts of Bellary, Chitradurga and Tumkur.

The agency, probing alleged illegal mining and irregularities in allotment of mining leases to Obulapuram Mining Company, had arrested one of the three Reddy brothers, G Janardhana Reddy and OMC managing director Srinivas Reddy on September 5 from Bellary in Karnataka.

The duo are under judicial custody till October 3 and lodged at Chanchalguda Central Prison in Hyderabad.

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