This Article is From Apr 29, 2010

Setback for Reddys, panel says stall mining

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New Delhi: In a major setback to the powerful Reddy brothers of Karnataka, a Survey of India panel has recommended in a report that no mining take place at their Obulapuram mines till the Andhra Pradesh-Karnataka boundary is demarcated afresh.

The panel has found discrepancies in mining sketches and has suggested these be redrawn. The report will be considered by the Supreme Court tomorrow when it takes up the case for hearing.

If the panel's recommendations are accepted, and the Reddy brothers are not able to mine till the fresh demarcation of the boundary between the two states, they stand to incur huge losses. The fresh boundary demarcation is likely to take considerable time.

The panel has been set up by the Supreme Court to probe allegations of encroachment by the Reddy brothers' mines as well as others in the area. It submitted its report to the court today.

The panel examined six mines, of which three belong to the Reddy brothers.

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The report says that,

* there are major discrepancies in mining sketches and that the sketches issued in the Bellary Reserve Forest Area will have to be re-drawn.

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* two departments of the Andhra Pradesh government have issued different sketches.

* the boundary between Karnataka and Andhra Pradesh will have to be demarcated afresh.
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