Special bench headed by Chief Justice asks for report by Aug 3, asks AP govt to co-operate in investigations

In a setback to former Karnataka Chief Minister B S Yeddyurappa, the Supreme Court today directed a CBI probe against him for allegedly granting undue favours to firms involved in illegal mining in lieu of donations to a charitable trust run by his kin. A Special Forest bench headed by Chief Justice S H Kapadia directed the probe agency to carry out the probe uninfluenced by the stature of the person and political clout and corporates involved in the case and file its report by August 3.

Seeking a report on the mushrooming of resorts and other activities in the reserve forests in five districts of the State, the Supreme Court-appointed Central Empowered Committee (CEC) issued notice to the Principal Chief Conservator of Forests (PCCF) in Bangalore on Thursday.

The CEC has instructed the PCCF to provide details about the resorts (including Jungle Lodges), restaurants and other activities in the reserve forest regions of Mandya, Mysore, Chamarajanagar, Madikeri and Hassan districts.

The Supreme Court-appointed Central Empowered Committee (CEC) has sought a response from the Karnataka government to the demand for a CBI probe into the entire gamut of mining activities that took place in the State since 2002.

Following a petition filed by T J Abraham, a resident of Bangalore, the CEC has written to the Karnataka chief secretary seeking a reply to the petitioner’s allegations. Abraham had pleaded before the CEC that mining activities, including dereserving of forests and granting of permission for mining by past governments headed by former chief ministers S M Krishna, Dharam Singh and H D Kumaraswamy, should be probed.

India’s iron ore exports are set to fall to a new low this financial year, owing to multiple problems, such as shortages in Karnataka, Odisha and Goa, high export duty and differential railway freight. Compared to 2011-12, which witnessed a year-on-year decline of 38.5 per cent in exports at about 60 million tonnes, the current year (2012-13) may see an all-time low of 45-50 mt, a drop of 16-25 per cent over last year.

“We are not in a position to make any estimation for exports during the current year. But, going by the prolonged ban on mining in Karnataka, restriction on mining in Odisha and Goa, along with a high railway freight rate and 30 per cent export duty, export of iron ore is no longer a viable proposition,” said R K Sharma, secretary general, Federation of Indian Mineral Industries (Fimi).

New Delhi The Supreme Court on Friday asked former chief minister B S Yeddyurappa and the country's third-largest steel producer, JSW Steel, to file documents to prove their innocence in the Karnataka mining scam.

The court said it will pass an order next week on the Central Empowered Committee's (CEC) recommendations, seeking a CBI probe into the alleged massive illegal mining activities in Karnataka and the roles of Yeddyurappa and two companies — JSW Steel and Adani Enterprises — in the scandal.

Vedanta group firm Sesa Goa today said it expects mining operations in Karnataka to begin "soon" as it has submitted reclamation and resettlement plan for its mine in Chitradurga district to an apex court appointed panel that is looking into the illegal mining issues in the state. Closure of operations in Karnataka due to a mining ban imposed by the Supreme Court last year has led to a decline of 27 per cent in iron ore miner's production in 2011-12.

Sesa Goa has reported a decline of 36 per cent in its consolidated net profit to Rs 2,695.50 crore for 2011-12.

Bangalore Uncertain times await investors planning to start iron-ore mining in Karnataka, as the state government has made it clear that fresh leases will be given only after the Supreme Court clears all legal cases concerning the sector.

The state's controversy-ridden industry has come under the purview of the central empowered committee (CEC) of the Supreme Court which has recommended a ban on issuing fresh mining permits.

SC nod can lead to production of 6-7 mt from 49 category A, B mines

The shortage of iron ore in Karnataka is likely to ease by July, as regular mining is expected to resume in a couple of months from now. The Supreme Court-appointed authorities are preparing reclamation and rehabilitation (R&R) plans, stoking hopes of an end to the stalemate. Once the apex court approves the plans, mining can resume in 49 leases of 50-hectares and above falling under the A and B category mines in the districts of Bellary, Chitradurga and Tumkur.

New Delhi: The Supreme Court’s environment panel on Friday recommended a CBI probe into alleged land transfer and other concessions by former Karnataka chief minister B S Yeddyurappa to a mining company which helped his relatives reap “windfall profits”. The central empowered committee indicted Yeddyurappa, his two sons and son-in-law for involvement in illegal land allotment to Jindal group-owned South West Mining Limited. Land transfer unlikely to be one-off case: CEC

New Delhi: While former Karnataka chief minister B S Yeddyurappa may have come under the scanner of Supreme Court’s Central Empowered Committee (CEC) in two specific cases of making financial gain from miners, the entire case of illegal mining in the state and the wealth stolen could end with a fine of less than Rs 450 crore and most of the miners could continue their operations, though under supervision and new regulations.