Karnataka SCAM

8/3/2019 Karnataka SCAM

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Ministers 'stole millions in

Karnataka mining scam'

Karnataka Land and Mining scam


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Season of Scam in India

CWG 2010, 2G Spectrum, Swiss Bank Deposits SBand spectrum and recently KARNATAKA MININGSCAM.

Authorities in Bangalore, in the southern state of

Karnataka, are struggling to contain the falloutfrom an alleged massive land scam.

Karnataka ranked high on human developmentindexes and Bangalore - home to the world'sbiggest computer software firms - is known as theSilicon Valley of India.


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But- The state is now going through an

identity crisis

Many calling it the new Bihar which was until

recently one of the most corrupt and crime-

infested regions of the country.

At the centre of the alleged land scam are

thousands of acres of prime land acquired by

the state over the years for development

purposes, and the state's Chief Minister BSYeddyurappa.


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Mr Yeddyurappa, who heads the Bharatiya

Janata Party (BJP) in southern India, stands

accused of allotting hundreds of acres of thisland to family and friends.

He is alleged to have taken his discretionary

powers to a new level and allotted largechunks of land to his immediate family.

Mr Yeddyurappa denies all the accusations,

but some of the mud seems to stick


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Unable to predict the exact amount of money

or land involved in this scam. Mr. Yeddyurappa's two sons, son-in-law,

daughter and daughter-in-law are all namedas beneficiaries.

In the last few years, land prices in Bangaloreand other cities in the state have risendramatically says senior Congress party leader

and legislator Krishna Byre Gowda. Over the years, some parts of the land have

been "denotified" and sold off in the market.


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MINING SCAM


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Four listed companies Adani Enterprises, National Mineral

Development Corporation (NMDC), Sesa Goa and JSW Steel

were named by the former Karnataka Lokayukta, SantoshHegde, in his report on mining irregularities in Karnataka

The Lokayukta report was followed by a complete mining ban

by the Supreme Court in Bellary due to environmental

concerns. Sesa Goa, JSW Steel and NMDC stand to lose the most as the

share prices in the market fell.

The report further says 45,59,365 metric tonnes of ore was

transported through the railways between 2006-07 and 2010-11


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Karnataka mining scam 'caused $3.6 bn loss togovt

The accused local politicians in Karnataka, including thestate's chief minister B.S. Yeddyurappa, of causing thelosses from 2006 to 2010 via the illicit mining of iron ore,much of which is thought to have been shipped to C

"An amount of Rs 16,085 crore has been lost to theexchequer between 2006 and 2010 due to the illegalitiesand irregularities linked to the grant of licences and theexport of iron ore," the judge said in state capitalBangalore.

Karnataka, which accounts for a quarter of the country'siron ore exports, banned shipments in July 2010 to curbillegal mining.


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The report with annexures runs into 10,000 to 12,000

pages.

It has named Yeddyurappa, four ministers and former chief

minister and JDS leader H D Kumaraswamy, among others.

This iron ore is alleged to have been illegally mined after

paying a minuscule royalty to the government.

The major irregularities involve mines in Bellary, includingthose of Obulapuram Mining Company owned by G.

Karunakara Reddy and G. Janardhana Reddy who are

ministers in the Government of Karnataka.


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The Lokayukta Report on illegal mining inKarnataka details the methods in which miners,government officials and ministers colluded todefraud the government of mining revenues.

The report details the complete breakdown ofdemocratic governance in the bellary area anduncovers the "zero risk system", a protection and

extortion racket, masterminded by G. JanardhanaReddy

The report describes the illegal money transfersto foreign companies and tax shelters by mining

entities such as Obulapuram Mining Company,Associated Mining Company, GLA Trading and GJRHoldings owned by the Reddy Brothers


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The report tells about illegal mining,

bureaucrats-politicians-businessman nexus.

Even banks and public sector companies also

participated in the loot. There are more than

100 names involved in illegal operation.

NDMC, Adani enterprise, JSW Steel are somemajor name in fraud list.


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Charges against these companies are illegal

movement of iron ore from mining yard

without permits and without paying royalties,

forest encroachment, mining lease violations,

overloading of trucks and sandry violation etc.

The iron ore was illegally exported to china

through ports of southern India and payment

is made through more than 4000 banks

account. Damage to environment can not becalculated


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The Supreme Court on Friday, Jul 29 banned all miningin Bellary, which is famous for mining in Karnataka.

The apex court banned mining in the region withimmediate effect from Friday over environmentpollution.

Central Empowerment Committee stated in the courtthat the mining in Bellary has made serious damage to

the environment around the region. The court also sought details about how much of the

ore mined from mines in Bellary is used for domesticpurpose and for export.

The court also asked the environment ministry to tabletheir replies within one week.


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REFERENCES

www.firstpost.com

www.theeconomictimes.com

www.wikipeida.org www.thehindu.com

www.thetimesofindia.com
http://www.firstpost.com/http://www.theeconomictimes.com/http://www.thehindu.com/http://www.thetimesofindia.com/http://www.thetimesofindia.com/http://www.thehindu.com/http://www.theeconomictimes.com/http://www.firstpost.com/


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Karnataka SCAM

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