Newsmakers 2009: Reddy brothers

Janardhan Reddy, Tourism Minister for Karnataka
The Andhra Pradesh government has ordered Janardhan Reddy's firm to stop all work at its mines in the Anantpur district. A panel set up by the Supreme Court reported that Reddy's firm is guilty of illegal mining in reserved forest areas. Reddy, a mining baron from Bellary in Northern Karnataka, is Tourism Minister for Karnataka, but his family is originally from Chittoor district in Andhra Pradesh. His brother, Karunakaran, is also in the Karnataka Cabinet.

A Supreme Court panel has slammed the Andhra government for originally stating that Reddy's mines did not violate their lease by operating in forest areas. The report says, ``the objectivity, fairness and impartiality which is expected from a state government is shockingly lacking here and does not inspire confidence. In these circumstances, it is imperative that the boundaries of the mining leases are determined and fixed by an independent agency and till then all the mining operations in the area remain suspended.''

Last month, the Reddy brothers brought the BJP government in their home state to the brink of disaster by leading a revolt against chief minister BS Yeddyurappa. It took days of public and national-level negotiations to smooth over the crisis in the state.

Dismissing as "baseless" charges of illegal mining by his firm, Karnataka Tourism Minister G Janaradhana Reddy has accused Congress and opposition parties of trying to "take political revenge."
"Although there are over 700 mine owners in the country, it was my firm which was singled out and orders issued to it to stop mining. The allegations of the Centre, Andhra Pradesh government and the opposition parties that my firm is into illegal mining is without any basis, with no other motive but to take political revenge," he said.

In Andhra, Opposition Leader Chandrababu Naidu has accused the Congress government of sheltering Reddy's mines. Naidu says this is because of alleged business links between Reddy and Jaganmohan, the son of YSR Reddy, who died in a helicopter crash in September. YSR's son has denied the charges.