Bangalore, July 27, 2011
Last Updated: 18:41 IST(27/7/2011)
In damning evidence against the chief minister, the Lokayukta headed by former Supreme Court judge Justice Santosh Hegde found that a mining company had donated Rs 10 crore to a trust managed by his family members which also sold a piece of land to a mining company for Rs 20 crore far above the guidance value of Rs 1.4 crore.
Hegde's report was handed over by Lokayukta registrar Kunhi Nair Moole to state chief secretary SV Ranganath at the Vidhana Soudha, the state secretariat, about 200 metres from the ombudsman's office on Dr Ambedkar Veedhi (Road).
Hundreds of curious onlookers were outside the Lokayukta office complex, swarming with police personnel.
Moole, who was carrying a suitcase with the voluminous report, had a tough time walking from his car to the Vidhana Souda through the many camera crews jostling with each other to capture the moment.
Ater submitting the report running into 25,228 pages including annexures, Hegde told a press conference that he has named Chief Minister Yeddyruppa, former chief minister and JDS leader HD Kumaraswamy, Reddy brothers (who are ministers and mining magnates), their camp follower and another minister H Sriramulu, Congress MP Anil Lad's wife and over 600 officials in the mining racket that cost the exchequer Rs 16,085 crore between 2006 and 2010.
"Having come to the conclusion that there is as a matter of fact an offence made under the Prevention of Corruption Act I have made a recommendation to the Governor to take further action," Hegde said in respect of the donation made to the trust run by the chief minister's family members.
At another point, he said, "I have made a recommendation for prosecuting everybody. I have stated this to the Governor. It is for him to act."
To a question, he shot back,"Action under Prevention of Corruption Act should be taken. What else?."
The report castigated the BJP government, which is in power since May 2008, for its failure to check irregularities and illegalities in mining in the state.
"The enquiry has found large scale involvement of officials, powerful people both in the Administration as well as in the ground level," said Hegde whose main report runs into 943 pages.
Hegde said in the course of investigations they found that a company dealing in iron ore donated Rs 10 crore to the Trust run by family members of the chief minister.
From the Trust, a mining company purchased an acre of land for Rs 20 crore far above the guidance value of Rs 1.40 crore, he said.
"This payment has been made to the Trust which has nothing to do with the donating company which has not been doing well but borrowed money from another company and donated this. I find this extremly difficult to understand this abnormal high price.
"We have come to an incontrovertible conclusion that this donation and sale consideration has been made for reasons other than genuine reasons." he added.
Replying to questions, Hegde confirmed that the report makes a mention of the CM, his family members, Reddy brothers, Sriramulu and Kumaraswamy and over 600 officials.
In the case of Kumaraswamy, the enquiry found "misconduct" on his part regarding grant of two mining leases and action has been recommended under PCA.
Karnataka mining scam 'caused $3.6 bnn loss to govt'
He accused local politicians in Karnataka, including the state's chief minister B.S. Yeddyurappa, of causing the losses from 2006 to 2010 via the illicit mining of iron ore, much of which is thought to have been shipped to China.
"An amount of Rs 16,085 crore has been lost to the exchequer between 2006 and 2010 due to the illegalities and irregularities linked to the grant of licences and the export of iron ore," the judge said in state capital Bangalore.
"In the illegal mining and irregularities committed in the export of iron ore, we have found the involvement of some 100 mining companies, about 600 officials, powerful politicians including the chief minister."
Themining scam is the latest in a series of scandals to break in India, which is still reeling from the bungled sale of telecom licences in 2008 which is estimated to have cost the country up to $40 billion.
The national telecom minister and 14 others including company executives and bureaucrats are currently on trial facing charges of manipulating the process to favour certain companies in exchange for kickbacks.
Media reports have suggested that the ombudsman's explosive findings could trigger a collapse of theKarnataka government, which is led by the main national oppositionBharatiya Janata Party (BJP).
The allegations contained in the report are seen as undermining theBJP, which has been leading the anti-graft campaign nationally against the Congress-led government of Prime MinisterManmohan Singh.
Karnataka, which accounts for a quarter of the country's iron ore exports, banned shipments in July 2010 to curb illegal mining.
Yeddyurappa said before the report was released he would consult cabinet colleagues and legal experts once he saw its contents.
Hegde had earlier said that was "an element of criminality on the part of the chief minister as he heads the mining department and is responsible for all acts of omission and commission in it," according to the media.
Vedanta Resources faces protests at London AGM over Niyamgiri mine in Orissa
Vedanta was reportedly denied permission to mine in the Niyamgiri Hills, home of the Dongria Kondh tribe who have been vigorously protesting against the mining.
The issue is now in the Supreme Court. A spokesperson of campaign groupSurvivor International told PTI that at tomorrow's AGM the company will be told by protesters inside and outside the meeting to respect the stance of both the government and the Dongria Kondh and to give up on the Niyamgiri mine.
Actor and Survival supporterMichael Palin, who has visited the Dongria Kondh, said today: "I am very disappointed that the decision to stop Vedanta's mine by India's Environment Minister is now being challenged in the Courts. Vedanta needs, once and for all, to abandon this ill-conceived project and respect the rights of the Dongria Kondh people."
Several shareholders have reportedly disinvested a total of over USD 40 million from Vedanta in protest over the Niyamgiri mine project and other concerns over the company's human rights and environmental record.
Asset manager Aviva Investors has declared that it will not support key resolutions at tomorrow's AGM due to concerns over the company's behaviour.
Stephen Corry, Director ofSurvival International, said today, "When shareholders are disinvesting, and expressing serious concerns about company conduct, it's time to reconsider policy. Vedanta should respect the resounding 'no' from the Indian government and abandon the Niyamgiri mine: it might go some way to righting its appalling human rights record."
BJP party sources say thatB S Yeddyurappa has been summoned to Delhi by the top brass following the Lokayukta's report on illegal mining.
Lokayukta Registrar Moosa Kunhi Nayar Moole handed over the report to Chief Secretary S V Ranganath at the State Secretariat.
Contents of the voluminous report were not known immediately but as per the leaked versions, it has named Yeddyurappa, four ministers and former chief minister and JDS leaderH D Kumaraswamy, among others.
The loss to the state exchequer because of illegal mining for 14 months -- between March 2009 and April 2010 -- had been pegged at more than Rs 1,827 crore.
Besides, it has reportedly named more than 500 officials.
"I have gone through a lot of turmoil...this thing...leakage and other things...lot of work has been done by Lokayukta staff (in compiling the report)...", Hegde told PTI.
"Copy of the report on illegal mining has also been sent to GovernorH R Bhardwaj," Hegde said.
Asked if more than 500 officials and more than 100 politicians had been named, Hegde, a former Supreme Court judge, said, "I don't want to speak about the contents of the report. This is exactly what's been happening. I think it's not possible to keep all this (information) on the hold."
He had said earlier the report with annexures runs into 10,000 to 12,000 pages, with "his own report of 450 to 500 pages".
Yeddyurappa said earlier in the day that he would consult Cabinet colleagues and legal experts once he received the report, adding, he had told BJP President Nitin Gadkari he would bring the contents to his notice.
"I will resign as chief minister and also retire from politics if it is proved that I am involved in tapping the phone of the Lokayukta," the chief minister told a press conference here.
He said he had written to Prime Minister Manmohan Singh and Home Minister P. Chidambaram to set up a committee to probe Lokayukta N. Santosh Hegde's charge that his telephone was being tapped for three or four months.
Yeddyurappa said he had suggested that the committee should consist of External Affairs Minister S.M. Krishna and former prime minister and Janata Dal-Secular president H.D. Deve Gowda as well as the ombubsman himself.
He said he consideredHegde's telephone tapping the "most shocking development" of his three-year rule. Yeddyurappa became chief minister in May 2008.
Hegde is to submit his report on the illegal mining operations in the state Wednesday. Contents of the report have been leaked to the media and Hegde suspects telephone tapping could be the source for the leak.
"I am hurt by allegations that phones of ombudsman and opposition leaders are tapped by my government. Though the charges are baseless, I will write to the Prime Minister to order an inquiry into the issue," Yeddyurappa told reporters at his residence soon after his arrival from Mumbai.
Accusing the opposition Congress and the Janata Dal-Secular (JD-S) of attempting to bring down the firstBharatiya Janata Party (BJP) government in the southern state over the last three years, Yeddyurappa said he would clarify his position on all issues, including his alleged role in the mining scam later in the evening to the media.
"The Congress and the JD-S have been trying to bring down my government from day one, despite failing to do so every time. They are against development in the state. They think only they have the right to rule the state and not our party," Yeddyurappa said.
Soon after arrival in the city, the chief minister visited the famous Subramanya temple with family members and some ministers to seek divine intervention in overcoming yet another political crisis since theBJP came to power in the state in May 2008.
The chief minister is expected to call on leaders of the state unit of the Rashtriya Swayamsevak Sangh (RSS)) here later in the day to update the right-wing outfit on the developments in the state.
Yeddyurappa, Kumaraswamy to swear before god over graft issue
Don't settle political battles in temples: Gadkari to Yeddyurappa
"I advised Yeddyurappa that it was not appropriate to use religious places, especially temples, for politics," Gadkari, who was in Bangalore to attend a function, said. The rap from the party president came at a time when the "truth test" at Dharmasthala had sparked off angry reactions from religious leaders and various sections of society.
Yeddyurappa himself had issued a statement that he would arrive at a final decision on June 26, a day before Kumaraswamy was to undertake the challenge posed by the chief minister to swear before Lord Manjunatha about his charges.
Gadkari said the party will fight out political issues "politically and legally", making it clear that the BJP, which had stood by the chief minister in the face of the Opposition diatribe, did not approve of Yeddyurappa taking his battle with Kumaraswamy to the temple.
"There are lots of allegations because of political frustrations," Gadkari said. Kumaraswamy had claimed that he had been approached by Yeddyurappa's emissary to arrive at a compromise and refrain from releasing "documents" revealing alleged irregularities involving the chief minister's family.
The leader of Opposition has devoted the last few months to circulating "documents" to show the chief minister used his office to help his family. He even advertised his "truth test" proposal by writing an open letter in local newspapers.
The criticism from the seers had forced the chief minister to have second thoughts. "Because of that great respect for the swamiji's and elders, I will take a decision on 26th evening," he had said. The BJP has defended the chief minister, a popular Lingayat leader, against the Opposition charges of corruption and ruled out any change of leadership in Karnataka, the first and only southern state where the party is in power.
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Lokayukta indicts Yeddyurappa, Reddy brothers
The Lokayukta report on illegal mining on Wednesday strongly indicted Karnataka Chief Minister B.S. Yeddyruappa, Reddy brothers and various others and recommended their prosecution under Prevention of Corruption Act and other laws.
In damning evidence against the Chief Minister, the Lokayukta headed by former Supreme Court judge Justice Santosh Hegde found that a mining company had donated Rs. 10 crore to a trust managed by his family members which also sold a piece of land to a mining company for Rs. 20 crore far above the guidance value of Rs. 1.4 crore.
After submitting the report running into 25,228 pages including annexures, Mr. Hegde told a press conference that he has named Chief Minister Yeddyruppa, former Chief Minister and JD(S) leader H.D. Kumaraswamy, Reddy brothers (who are ministers and mining magnates), their camp follower and another minister H. Sriramulu, Congress MP Anil Lad's wife and over 600 officials in the mining racket that cost the exchequer Rs. 16,085 crore between 2006 and 2010.
"Having come to the conclusion that there is as a matter of fact an offence made under the Prevention of Corruption Act I have made a recommendation to the Governor to take further action," Mr. Hegde said in respect of the donation made to the trust run by the Chief Minister's family members.
At another point, he said, "I have made a recommendation for prosecuting everybody. I have stated this to the Governor. It is for him to act."
To a question, he shot back, "Action under Prevention of Corruption Act should be taken. What else?"
The report castigated the BJP government, which is in power since May 2008, for its failure to check irregularities and illegalities in mining in the state.
"The enquiry has found large scale involvement of officials, powerful people both in the Administration as well as in the ground level," said Mr. Hegde whose main report runs into 943 pages.
Mr. Hegde said in the course of investigations they found that a company dealing in iron ore donated Rs. 10 crore to the Trust run by family members of the Chief Minister.
From the Trust, a mining company purchased an acre of land for Rs 20 crore far above the guidance value of Rs 1.40 crore, he said.
"This payment has been made to the Trust which has nothing to do with the donating company which has not been doing well but borrowed money from another company and donated this. I find this extremly difficult to understand this abnormal high price.
"We have come to an incontrovertible conclusion that this donation and sale consideration has been made for reasons other than genuine reasons." he added.
Replying to questions, Mr. Hegde confirmed that the report makes a mention of the CM, his family members, Reddy brothers, Sriramulu and Kumaraswamy and over 600 officials.
In the case of Mr. Kumaraswamy, the enquiry found "misconduct" on his part regarding grant of two mining leases and action has been recommended under PCA.
Referring to the purchase of one acre of land in Rachenahalli on Bangalore outskirts for a consideration of Rs. 20 crore when its guidance value would not be more than Rs 1.4 crore, he described this as "abnormal payment to a trust which has nothing to do with a donating company which was not financially strong".
Mr. Hegde said he found it extremely difficult to accept that a company which did not have financial resources should borrow from other companies to make donation.
"Therefore, having come to the conclusion that there is an offence under the Prevention of Corruption Act is made, I have made recommendation to the Government to take further steps (against Chief Minister B. S. Yeddyurappa) in this regard because the competent authority for taking action against the Chief Minister is governor of the State".
He said the Lokayukta has submitted the report to the Government and a copy of the report with annexure have been sent to the Governor for "further action" (in regard to the Chief Minister).
On Reddy brothers, Mr. Hegde said contrary to their claim that they were not doing any mining in Karnataka, "we have enough documents to prove to the contrary."
He said the illegalities found were of different types as has been enumerated in different chapters and supported by documents.
"The offences committed by various people and companies will be covered under various acts and action will be taken in accordance with law under IPC, Forest Act, FMRDA and PCA," he added.
Mr. Hegde said the Lokayukta has recommended that since various illegalities and irregularities were committed the government should cancel the mining licenses, compute the quantity of loss and treat it as "stolen iron ore" and recover money from people concerned at the market rate.
The Lokayukta enquiry found that there was rampant illegal mining in Bellary, Chitradurga and Tumkur because of which local people suffered from various problems.
"Once illegal mining is stopped the Central and the State government can recover lakhs of crores of rupees as Excise and VAT," he said, adding over 100 companies were involved in illegal mining.
Mr. Hegde has also recommended to the government that security be provided to his team of officers since they could face possible threats from some quarters.
The enquiry team had a huge task in examining four lakh records and collating nearly 50 lakh entries in the effort to produce the report.
B. S. Yeddyurappa
B. S. Yeddyurappa
| B. S. Yeddyurappa | |
|---|---|
 | |
| B.S. Yeddyurappa | |
| 25th Chief Minister of Karnataka | |
| Incumbent | |
| Assumed office May 30, 2008 | |
| Preceded by | President's rule |
| Constituency | Shikaripur |
| 24th Chief Minister of Karnataka | |
| In office November 12, 2007 – November 19, 2007 | |
| Preceded by | H. D. Kumaraswamy |
| Succeeded by | President's rule |
| Constituency | Shikaripur |
| Personal details | |
| Born | 27 February 1943 Bookanakere, Mandya district,Karnataka |
| Political party | BJP |
| Spouse(s) | Late Mythradevi |
| Children | 2 sons: (B. Y. Raghavendra Vijayendra) 3 daughters: (Arunadevi Padmavati Umadevi) |
| Residence | Bangalore |
| Religion | Hinduism |
| Website | http://yeddyurappa.in |
| As of May 28, 2008 Source: [1] | |
Bookanakere Siddalingappa Yeddyurappa (Kannada: ಬೊಕನಕೆರೆ ಸಿದ್ಧಲಿಂಗಪ್ಪ ಯಡಿಯೂರಪ್ಪ), (born February 27, 1943[1]) is an Indian politician and the 25th Chief Minister of Karnataka, sworn in on 30 May 2008. He belongs to the Bharatiya Janata Party (BJP) and represents Shikaripura in theKarnataka legislative assembly. He became the Chief Minister of Karnataka after the BJP's success in the 2008 Karnataka Assembly election. He was also briefly the Chief Minister in November 2007 before the coalition government with Janata Dal (Secular) collapsed. He is the first person from the BJP to become the Chief Minister of a South Indian state.[2]
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[edit]Personal life
In 1967, Yeddyurappa married Mythradevi, the daughter of Veerabhadra Shastri.[3] Yeddyurappa has two sons, Raghavendra and Vijayendra and three daughters, Arunadevi, Padmavati and Umadevi.[4] In 2004, his wife died after falling into and drowning in a nearby well under mysterious circumstances. No case was registered[5][6]
Yeddyurappa was born on February 27, 1943 in the village of Bookanakere in Mandya district in the state of Karnataka.[7][8] His father Siddalingappa and mother Puttathayamma belonged to the Lingayat community. He was named after the presiding deity of a Shaivite temple built by the saint Siddalingeshwara at Yediyur in Tumkur district of Karnataka.[9] He lost his mother at the age of four.[2] He completed his education with a degree in Bachelor of Arts.
In 1965, he was appointed first-division clerk in the social welfare department but instead shifted to Shikaripur where he joined as a clerk at Veerabhadra Shastri's Shankar rice mill. He later set up a hardware shop in Shimoga.
[edit]Political career
Yeddyurappa's stint in public life began when he was appointed secretary of the Rashtriya Swayamsevak Sangh's Shikaripur unit in 1970. In 1972, he was elected President of the Taluk unit of the Jan Sangh.[4] In 1975, he was elected President of the Town Municipality of Shikaripur. He was imprisoned during the Emergency in India between 1975 and 1977 and lodged in the Bellary and Shimoga jails. In 1980, he was appointed President of the Shikaripur taluk unit of the BJP and he later went on to become the president of BJP's Shimoga district unit in 1985. In 1988, he became the President of the BJP unit of the state of Karnataka. He was first elected to the lower house of Karnataka Legislature in 1983 and has since represented the Shikaripur constituency six times. He has been a member of the Seventh, Eighth, Ninth, Tenth, Twelfth and Thirteenth Legislative Assemblies (lower house) of Karnataka. In the Tenth Assembly, he was chosen Leader of Opposition. In 1999, he lost the elections but was nominated by the BJP to become a member of the legislative council (upper house) of Karnataka.[1]
He rose to prominence when he helped Janata Dal (Secular) party's H. D. Kumaraswamy to bring down the coalition government of Dharam Singh. Kumaraswamy formed the government with the help of the BJP in Karnataka headed by Yeddyurappa. A deal was struck between the JD(S) and BJP, which specified that H. D. Kumaraswamy would be the Chief Minister for the first 20 months, after which Yeddyurappa would become to Chief Minister for the remaining 20 months of the current tenure of the Legislature. Yeddyurappa was nominated as the Deputy Chief Minister as well as the finance minister in Kumaraswamy's Government.
However in October 2007, when Yeddyurappa's turn of becoming the Chief Minister was supposed to start, Kumaraswamy refused to resign from the post of the Chief Minister. This forced Yeddyurappa and all of the ministers from his party to resign and on October 5, he met the governor and formally withdrew the BJP's support from the government. Karnataka was put under President's rule which was revoked on November 7. During the period of the President's rule, the JD(S) and the BJP decided to bury their differences and this paved the way for Yeddyurappa to become the Chief Minister of Karnataka. Yeddyurappa was sworn in as the 25th Chief Minister of Karnataka on November 12, 2007. However, JD(S) refused to support his government over disagreement on sharing of ministries which made him resign from his post on November 19, 2007.
In Karnataka's 2008 Assembly elections, Yeddyurappa contested from Shikaripura against the Samajwadi Party's S. Bangarappa, another ex-Chief Minister. The Indian National Congress and JD(S) did not field a candidate in the constituency and backed Bangarappa, but despite this, Yeddyurappa won the seat by a margin over 45,000 votes. He took the oath of office as Chief Minister on May 30, 2008.[10]
In December 2008, Yeddyurappa was conferred an Honorary Doctorate by the Saginaw Valley State University, USA.[11][12][13]
In November 2010, Yeddyurappa was alleged to have used his position as Chief Minister to unfairly favour his sons in the allotment of prime land in Bangalore[14] On February 5, 2011, Yeddyurappa publicly declared his assets, and then challenged the opposition and the Indian National Congress to find any "black money".[15]
[edit]See also
[edit]References
- ^ a b "B. S. Yediyurappa". Online webpage of the Legislative Bodies of India. Government of India. Retrieved 2007-11-12.
- ^ a b "Yeddyurappa's journey from farming to chief ministership".Online Edition of The Hindu dated 2007-11-12 (Chennai, India). 2007-11-12. Retrieved 2007-11-12.
- ^ "Fascinating journey of a reformist". The Hindu (Chennai, India). 2010-02-27. Retrieved 2010-10-23.
- ^ a b Bookanakere ecstatic for its victorious son, Page 6, Times of India, Bangalore Edition, dated 2007-11-12
- ^ "Yediyurappa bereaved". Online Edition of The Hindu, dated 2004-10-17 (Chennai, India). 2004-10-17. Retrieved 2007-11-12.
- ^ "Parade done, over to Raj Bhavan, Path cleared for BJP reins".Online Edition of The Telegraph, dated 2007-10-30. Retrieved 2007-11-12.
- ^ "Yeddyurappa to become BJP's first CM in South". Retrieved 2007-11-12.
- ^ "B. S. Yediyurappa". Online webpage of the Karnataka Legislature. Retrieved 2007-11-12.
- ^ Pradeep Kaushal. "Many yatras later, finally there". Online Edition of The Indian Express, dated 2007-11-11. Retrieved 2007-11-12.
- ^ ABC Live - Online News, Breaking News, World News, National News,India News,Abc News - Yediyurappa Takes Oath as Karnataka CM
- ^ Doctorate for Yeddyurappa
- ^ US Doctorate for CM
- ^ Yeddyurappa dedicates doctorate to people
- ^ New Kerala. January 22, 2011.http://www.newkerala.com/news/world/fullnews-130167.html. Retrieved February 4, 2011..
- ^ Karnataka CM declares assets; has 2.7 kg gold, 76 kg silverTimes of India - February 6, 2011
[edit]External links
| Political offices | ||
|---|---|---|
| Preceded by M.P. Prakash | Deputy Chief Minister of Karnataka 09 January 2006 – October 2007 | Succeeded by President Rule (9 October 2007 - 11 November 2007) |
| Preceded by H. D. Kumaraswamy | Chief Minister of Karnataka 12 November 2007 – 19 November 2007 | Succeeded by President Rule (19 November 2007 - 30 May 2008) |
| Preceded by President Rule (19 November 2007 - 30 May 2008) | Chief Minister of Karnataka 30 May 2008 – present | Succeeded by Incumbent |
| ||
Santosh Hegde
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Bhardwaj studies Lokyukta report on illegal mining
Karnataka Governor H.R. Bhardwaj is studying the Lokayukta report on illegal mining, which has indicted Chief Minister B.S. Yeddyurappa and recommended his prosecution under the provisions of the Prevention of Corruption Act.
"The governor is going through the report. He will take a decision on future course of action after studying the report," a source in Raj Bhavan told PTI.
The source said the governor will wait and watch the reaction of the government to the report, which was submitted to Chief Secretary S.V. Ranaganth by the Lokayukta on Wednesday.
Mr. Bhardwaj had earlier said he would act on the report if his intervention was warranted.
After the report was submitted, Lokayukta Santosh Hegde said the copy of the report had been sent to the governor, as he is the competent authority to take action against the Chief Minister.
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