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Mining: Govt puts loss during 3 ex-CMs' rule at Rs 714 crore

Reserves comments on demand for a CBI investigation
Last Updated : 21 June 2012, 20:05 IST
Last Updated : 21 June 2012, 20:05 IST

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Making a volte-face on a petition to the Central Empowered Committee seeking a CBI probe against three former chief ministers for their alleged role in illegal mining, the State government has informed the panel that the Lokayukta had found lapses during their (three CMs) tenure and put the total loss between 1999 and 2007 at Rs 714 crore.

However, the government again resisted from commenting on the petitioner’s demand for recommending a CBI probe into the alleged involvement of S M Krishna, N Dharam Singh and H D Kumaraswamy in illegal mining.

In its first reply to the CEC last month, the government had defended the decision of the then government headed by Krishna to de-reserve 11,620 sq km of forest land for mining by stating that the decision complied with the Centre’s mining policy.

It had informed the CEC that the Lokayukta had not recommended any action against Krishna and Kumaraswamy, and in turn asked the CEC to take an appropriate decision in this regard.

The government’s first reply had trigged a row in the ruling BJP with supporters of former chief minister B S Yeddyurappa accusing Chief Minister Sadananda Gowda of hiding the facts and protecting Krishna and Kumaraswamy as they belong to the Vokkaliga community. The Yeddyurappa camp had demanded that Gowda send a revised reply to the CEC.

In its 11-page supplementary reply to the CEC on June 20, the government has not only quoted the Lokayukta reports on illegal mining, but also referred to minutes of meetings that officials of the Government of India held with the State’s Mines and Geology Department in 1995, 1997 and 2000, to ascertain the State’s stand on de-reserving forest areas.

List furnished

Besides, a list of mining leases recommended by each of the former chief ministers during their rule has been furnished in the reply.

On the petitioner’s point that illegal mining began with the de-reservation of 11,620 sq km of forest area by the then government headed by Krishna, the government said that in the meetings held in 1995, 1997 and 2000, a decision was taken against de-reservation, as most of the mineral-rich areas were in thick forests and ecologically fragile areas.

But the decision taken to de-reserve several blocks of forest areas in 2003 was contrary to the decisions taken in the past.

On the petitioner’s claim that the magnitude of illegality during the tenure of three
former chief ministers was more than 100 times compared to Yeddyurappa’s reign, the government stated: “De-reserved area of 11,620 sq km and surrendered area of 6,832.48 hectares of prime ore-bearing land have paved way for distribution of public assets to select private individuals/entities without regard for their professional or technical or business background.

The entire exercise was undertaken in a manner so as to benefit only a select few individuals,” the reply stated, quoting what the Lokayukta had concluded on de-reservation issue in its report.

On Kumaraswamy, the reply stated that the Lokayukta has found several illegalities and irregularities in approving mining lease to Sri Sai Venkateshwara Minerals and Janthakal Enterprises.

“Since he was not holding any public post under the State, no action was recommended. However, the government is open to take appropriate action against him for his misconduct as stated in this chapter,” the government stated.

“The Mysore Minerals Ltd has suffered a revenue loss of Rs 714.54 crore between 1999 and 2007 during the tenure of Krishna, Dharam Singh and Kumaraswamy as chief ministers,” the government stated in its reply, quoting the Lokayukta report.

Krishna

De-reserved area of 11,620 sq km and surrendered area of 6,832.48 hectares of prime ore-bearing land in 2003 had paved way for distribution of public assets to select private individuals/entities without regard for their professional or technical or business background.

Dharam Singh

The Lokayukta had recommended initiating proceedings to recover the Rs 23-crore loss caused by Singh to the State by allowing transportation of iron ore from patta lands.

But the then governor, during the President’s rule, had intimated that no action was required. So, no action was taken against Singh.

Kumaraswamy

The Lokayukta has found several illegalities and irregularities in approving mining lease to Sri Sai Venkateshwara Minerals and Janthakal Enterprises.

As he was not holding any public post under the State, no action was recommended.

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Published 21 June 2012, 20:05 IST

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