Illegal mining case: Hyderabad court sentences ex-Karnataka minister Gali Janardan Reddy, 2 others to 7 years in jail

The verdict pertains to a long-standing illegal mining case registered by the Central Bureau of Investigation (CBI) nearly 16 years ago

By Newsmeter Network
Published on : 7 May 2025 9:27 AM IST

Illegal mining case: Hyderabad court sentences ex-Karnataka minister Gali Janardan Reddy, 2 others to 7 years in jail

Illegal mining case: Hyderabad court sentences ex-Karnataka minister Gali Janardan Reddy, 2 others to 7 years in jail

Hyderabad: A special court in Hyderabad sentenced former Karnataka minister and mining baron Gali Janardhan Reddy and two others to seven years in prison in an illegal mining case.

The verdict pertains to a long-standing illegal mining case registered by the Central Bureau of Investigation (CBI) nearly 16 years ago.

The case involves illegal mining operations carried out in Anantapur district of the then undivided Andhra Pradesh. The investigation, which began in 2009, scrutinized mining practices by the Obulapuram Mining Corporation (OMC) and uncovered large-scale irregularities. Over the course of the proceedings, the court examined more than 3,400 documents and heard testimonies from 219 witnesses.

Among those convicted are BB Srinivas Reddy, managing director of OMC and a relative of Janardhan Reddy; VD Rajagopal, the then Director of the Mining Department; and Reddy’s personal assistant, Ali Khan. In addition to the prison sentences, the court imposed a fine of ₹10,000 each on Janardhan Reddy, Srinivas Reddy, Rajagopal, and Khan. OMC has also been fined ₹2 lakh for its involvement in illegal activities.

Who is Gali Janardhan Reddy?

Janardhan Reddy is a former Karnataka minister and a powerful figure in the iron ore industry, particularly in the Bellary region. His political and business career has been repeatedly shadowed by allegations of corruption, tax evasion, and illegal mining. He was arrested in 2011 following a damning Lokayukta report and released on bail in 2015.

Background of the Case:

The CBI's probe revealed that during YS Rajasekhara Reddy's tenure as Chief Minister, officials showed undue favoritism to Janardhan Reddy and his associates. They allegedly extracted iron ore far beyond the permitted lease boundaries, including from protected forest areas, leading to a staggering loss of ₹884.13 crore to the public exchequer.

While the court convicted key players, it acquitted former Mines Minister and current BRS MLA Sabitha Indra Reddy and retired IAS officer B. Krupanandam. Senior IAS officer Y. Srilakshmi was discharged from the case by the Telangana High Court in November 2022. Former Assistant Director of Mines, R. Linga Reddy, passed away during the trial.

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