Lokayukta’s report on illegal mining: Main points

July 27th, 2011 - 10:09 pm ICT by IANS  

Bangalore, July 27 (IANS) Karnataka Chief Minister B.S. Yeddyurappa, four ministers, former chief minister H.D. Kumaraswamy and 787 officials should be tried for graft, state Lokayutka (ombudsman) N. Santosh Hegde recommended Wednesday.

All those named in the 25,228-page report should be tried under various laws like the Prevention of Corruption Act and the Forest Act, said Hegde, whose term as Lokayukta ends Aug 2.

He recommended cancelling of licenses of mining firms found involved in illegal mining and transactions and also recovery of four times the value of the loss caused by them to the state exchequer.

The following are the main points of his report, which says between 2006 and 2010 illegal mining has caused the state a loss of Rs.16,085 crore.

** Try Yeddyurappa for graft because a trust run by his sons received Rs.10 crore donation from an iron ore mining firm that was financially not in a sound position. The sons also sold one acre land near Bangalore, whose market value was Rs.1 crore, for Rs.20 crore to a mining firm - the two incidents clearly establishing graft.

** Mining barons and ministers Reddy brothers — Tourism Minister G. Janardhana Reddy and Revenue Minister G. Karunakara Reddy — claim not being involved in mining in Karnataka. This is false. Enough evidence to prove them wrong.

** Their associate and Health Minister B.Sriramulu also involved and should be tried.

** Yeddyurappa loyalist and Housing Minister V. Somanna’s wife involved in illegal mining business.

** Former chief minister and Janata Dal-Secular state president H.D. Kumaraswamy granted two mining leases, flouting rules. Should be prosecuted.

** Congress Rajya Sabha member and mining baron Anil Lad’s wife involved in illegal mining. To be tried.

** BJP legislator B. Nagendra also involved. To be tried.

** Total number of officials to be tried - 787.

** Number of companies named in the report - over 100.

** Files perused - 400,000

** Entries examined - 50 lakh (five million).

** Illegalities found - mining in larger areas than permitted; exporting with fake documents; overloading of trucks; encroachment of forest areas.

** Separate chapter on the situation in iron-ore rich district of Bellary, about 300 km from Bangalore. Bellary is the Reddy brothers’ stronghold.

** Interim report on illegal mining given in Dec 18, 2008. No action from the government except filing cases against 55 firms.

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