CBI arrests mining czar Janardhan Reddy, Srinivas Reddy

Bangalore, Sept 5 (PTI) The CBI arrested mining baron and
former minister G Janardhan Reddy and Managing Director of
Obalapuram Mining Company B V Srinivas Reddy on Monday after
conducting raids at their premises.
Reddy, who was the Tourism and Infrastructure Development
Minister in the previous B S Yeddyurappa government, was among
those indicted by the Lokayukta report on illegal mining
submitted to the Government on July 27.
CBI sources said the two were arrested this morning.
The are allegations of irregularities in the mining
activities of OMC which is owned by the brothers - G
Karunakara Reddy, G Janardhana Reddy, G Somashekara Reddy.
About 65 mining companies including OMC are under the CBI
scanner.
Earlier, a CBI team from Hyderabad searched Janardhan
Reddy's house in Bellary in the wee hours and seized some
documents from his residence. Sleuths also raided the premises
of Srinivas Reddy here.
Sources said the CBI team led by its DIG, P V
Lakshminarayana has taken Janardhana Reddy and Srinivasa
Reddy to Hyderabad for further questioning.
The probe agency's action comes a day after Reddy's
associate and former Karnataka minister B Sreeramulu resigned
from his Assembly seat, protesting against the BJP's denial to
give him ministerial berth and also keeping Bellary Reddy
brothers out of the ministry.
CBI is also questioning Janardhan Reddy's wife in
Bellary, the sources said.
In the wake of allegations of illegal mining and
irregularities in allotment of mining leases to OMC in
Obulapuram and Malpanagudi villages of Andhra Pradesh's
Anantapur district, the state government had ordered a CBI
probe into the matter.
OMC has been accused of transporting ore in far excess of
actual production, irregularities in granting of leases,
encroaching upon mining areas belonging to Karnataka by
crossing the inter-State boundaries. PTI MSR
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