Supreme Court halts Reddy brothers’ mining operations

In a setback to Karnataka’s ministers-cum-mining magnates — the Reddy brothers, the Supreme Court on Monday stayed all mining activities by their company, Obulapuram Mining Corporation (OMC), in Andhra Pradesh.

A bench of chief justice KG Balakrishnan and justice Deepak
Verma appointed an expert committee headed by the Survey of India (SoI) to review mining areas and find out whether the company had encroached reserve forest areas. The apex court granted the committee two weeks to file its report, after which it will take a call.

The panel will include members drawn from the state department of forest, mines and revenue.

The apex court also issued notices to the brothers — including G Janardhan Reddy and Karunakara Reddy, on the special leave petition filed by the Andhra Pradesh government challenging the February 26 state high court order quashing the cancellation orders passed by the state.

Attorney general GE Vahanvati submitted that the high court ignored the findings of the apex court-appointed central empowered committee (CEC) and the high-level inquiry committee of the state government. Both panels conducted independent inquiries and found that the brothers had encroached on several hectares of reserve forest areas in the state.

OMC’s lawyer Mukul Rohtagi said the brothers did nothing illegal since they have a valid government lease for mining operations.
The Reddy brothers of Bellary have huge mining interests and political clout in Karnataka and Andhra Pradesh. Reports say they virtually rule the area on the Andhra-Karnataka border.

The Karnataka Lokayukta (ombudsman), Santosh N Hegde, had also accused OMC and the brothers of crossing interstate borders to encroach on mines and forest areas in Karnataka. Hegde is a former judge of the Supreme Court.