Obulapuram Mining case: Telangana HC rejects IAS officer Srilakshmi’s plea seeking discharge

Hyderabad: In a setback to senior IAS officer Y Srilakshmi, the Telangana High Court on Friday dismissed her petition seeking discharge from the Obulapuram Mining Company (OMC) illegal mining case.

Petition dismissed

The High Court pronounced its order dismissing her revision petition, which challenged the CBI special court’s decision of October 2022 refusing to discharge her as an accused. Srilakshmi, currently serving in the Andhra Pradesh government, is accused number six in the high-profile case.

Background of the OMC case

The case pertains to illegal mining by OMC in Anantapur district of undivided Andhra Pradesh, registered by the CBI 16 years ago. In May this year, the CBI special court awarded seven years’ imprisonment to four persons, including BJP MLA and mining baron Gali Janardhan Reddy, his relative and OMC MD BV Srinivas Reddy, former Mines Director VD Rajagopal, and Janardhan Reddy’s assistant Ali Khan.

Role of Srilakshmi under scrutiny

Srilakshmi, who was then secretary of the Industries Department, allegedly favoured OMC while denying licences to other applicants.

During the recent High Court hearing, the CBI argued that she colluded with then Mines Director VD Rajagopal to demand large bribes from other companies while extending undue benefits to OMC and its promoters, enabling them to gain illegal financial advantages.

Legal proceedings so far

Earlier, the High Court had allowed her revision petition and set aside the special court order dismissing her discharge plea. However, the CBI challenged this in the Supreme Court, which remanded the matter back to the High Court in May this year, directing it to decide within three months.

Acquittals and bail

In the May 2025 judgment, former Andhra Pradesh Home minister Sabitha Indra Reddy and retired IAS officer B Krupanandam were acquitted due to a lack of evidence. Last month, the Telangana High Court suspended the sentences of the convicted accused and granted them conditional bail.