Hyderabad, Nov 17 (IANS) The Andhra Pradesh government Tuesday decided to ask the Central Bureau of Investigation (CBI) the probe alleged irregularities in the Obulapuram Mining Corporation (OMC) owned by Karnataka Touism Minister Gali Janardhan Reddy.
In a brief media statement, the state government said it has decided to request the centre to order a CBI probe into the alleged irregularities in the mining of iron ore in Obulapuram in Anantapur district bordering Karnataka.

The statement said the government would issue an order in this regard on Thursday.

The decision comes in the wake of mounting pressure from the opposition parties, which have launched a campaign for a CBI probe.

The state government recently constituted a three-member committee of officials to probe the alleged irregularities but the main opposition Telugu Desam Party (TDP) and others were not satisfied. Some leaders of the ruling Congress party also sought a CBI probe.

The opposition alleged that former chief minister Y.S. Rajasekhara Reddy had shown favours to OMC, which had indulged in several irregularities and caused a loss of Rs.10,000 crore to the state exchequer during the last few years.

TDP president N. Chandrababu Naidu also alleged that OMC had pumped a part of this money into ‘Sakshi’, the Telugu daily and TV channel owned by Rajasekhara Reddy’s son Y.S. Jaganmohan Reddy.

Addressing a news conference here last week, OMC owner and powerful industrialist Janardhan Reddy claimed his company was clean and that he was ready for any probe. He denied any business relations with Jaganmohan Reddy.

Janardhan Reddy, who is tourism minister in Karnataka, with his brother Revenue Minister Karunakara Reddy earlier this month staged a revolt against Chief Minister B.S. Yeddyurappa, demanding his ouster. Both brothers were perceived to be close to the late Rajasekhara Reddy.

Jaganmohan Reddy, who is the Congress MP from Kadapa, welcomed the government’s decision to order CBI probe into the Obulapuram issue. He said ‘Sakshi’ has nothing to do with OMC.