Illegal mining case: Telangana HC stays Karnataka MLA Janardhan Reddy's conviction; grants bail

This order effectively halts his disqualification, allowing him to retain his seat in the Karnataka Legislative Assembly.

Hyderabad: In a relief to former Karnataka Minister Gali Janardhan Reddy, the Telangana High Court on Wednesday granted him bail by suspending his conviction and prison sentence in the Obulapuram Mining Company (OMC) illegal iron ore mining case.

The court in its order observed that it is of the prima facie view that if conviction is not suspended, Janardhan Reddy, a sitting MLA, who earned the confidence of the electorate, would be unable to represent people of his constituency.

“Therefore, this Court is inclined to suspend the conviction recorded by the Special Court vide impugned judgment,” the order said.

Janardhan Reddy was disqualified as the member of Karnataka Assembly, representing the Gangavati Constituency on May 8 following conviction in the OMC case.

While seeking suspension of conviction and bail, Janardhan Reddy’s counsel said the Election Commission may issue notification for conduct of by-poll to the constituency.

In such an event, Janardhan Reddy cannot represent people of his constituency who reposed faith in him by electing him as MLA and cannot also contest in the next elections, the counsel said.

The High Court said that Janardhan Reddy has completed nearly half of the sentence. “Thus, this Court is of the considered view that if the conviction is not suspended there is likelihood of the Election Commission of India issuing notification for conduct of by-election to the Constituency,” it said.

"In that case, the petitioner will be put to irreparable loss. Thus, there are irreversible consequences and special circumstances to grant bail to the petitioner by suspending the conviction and sentence of imprisonment."

The High Court also allowed the bail applications of three others who were convicted along with Janardhan Reddy in the case.

A special CBI court here on May 6 convicted Gali Janardhan Reddy and three others, including his brother-in-law and Managing Director of OMC, B V Srinivas Reddy, the then Director of Mines and Geology (Andhra Pradesh government) VD Rajagopal and Janardhan Reddy's assistant Mehafuz Ali Khan in the case and sentenced them to seven years' rigorous imprisonment.

The former minister and others had approached the High Court seeking suspension of the sentence and to grant them bail. The court, while suspending their sentences on Wednesday, granted them bail on execution of personal bond of Rs 10 lakh each with two sureties each for a like sum.

They were directed not to leave the country without the prior permission of the court. The CBI had registered the case on December 8, 2009 against the accused.

The central agency, in its charge sheets against Janardhan Reddy and others, accused them of tampering with mining lease boundary markings and carrying out mining illegally on the Karnataka-Andhra Pradesh border.

"It was alleged that the accused in criminal conspiracy with each other committed offences of illegal mining of iron ore by criminally trespassing into the government lands and lands of other private persons and thus causing a loss of more than Rs 800 crore to the government," the CBI had earlier said.

Janardhan Reddy had formed the Kalyana Rajya Pragati Paksha (KRPP) ahead of the Assembly polls in 2023, snapping his two-decade-old association with the BJP, and won the Gangavati assembly seat.

He, however, rejoined the BJP ahead of the 2024 Lok Sabha polls by merging his outfit with the saffron party.