SC-appointed panel calls for CBI probe into Yeddyurappa ‘misuse’

Panel says there are gross irregularities in allotment of mining leases by relatives of former CM.

Written by Express News Service | Bangalore | Published: April 20, 2012 4:31 pm

Raising grave concerns about the “ethics and morality” of former Karnataka chief minister B S Yeddyurappa,the Supreme Court-appointed Central Empowered Committee (CEC) on Friday recommended the apex court to order a CBI investigation against the BJP leader for misuse of public office to enable his close relatives make windfall profits in the illegal purchase and sale of public land to a private mining company.

A 17-page report filed by the Central Empowered Committee (CEC) gives a step-by-step version of how Yeddyurappa,as deputy chief minister,tweaked public policy so that his two sons and son-in-law could buy land,notified for acquisition for residential purpose,cheap in 2006.

Four years later,this time Yeddyurappa being chief minister,the same land was de-notified in time for them to sell the property to M/s South West Mining Limited,a Jindal Group Company,and rake in a huge profit.

“The entire process of de-notification has been carried out by using earlier owners as the front and from whom the land has already been purchased by the close relatives of the then chief minister,” the CEC said.

“Senior officers of the state government have apparently preferred to remain as silent spectators and appear to have completely ignored public interest. This in all probability may not be the only case of such de-notification from acquisition for private gains by the powerful vested interests,” the panel report said. It has been placed on record before a Supreme Court Bench led by Chief Justice of India S H Kapadia.

The CEC recommends that the CBI also probe a donation of Rs 10 crore received by Prerana Education Society from M/s South West Mining Limited.

The report is based on preliminary findings of the CEC on illegal mining in Karnataka. The panel was assigned to brief the SC on the scope of CBI investigation into serious illegalities allegedly committed by top politicians and major corporate groups,including the Jindals and the Adanis,in the state.

In 2004,a scheme for more residence space — a public purpose — called the ‘Arkavathi Layout’ was sanctioned by the state Cabinet. Of the 1.12 acre selected and notified for acquisition by the Bangalore Development Authority,an acre was carved out and sold to Yeddyurappa’s sons Vijayendra and Raghavendra along with R N Sohan Kumar,the politician’s son-in-law,for Rs 40 lakh.

The report says Yeddyurappa got the land de-notified when he became chief minister,clearing the deck for his three relatives to sell their property as prime real estate to South West for a total consideration of Rs 20 crore. The de-notification of the land,CEC says,was done unilaterally by the former CM,without waiting for the mandatory approval of the De-Notification Committee.

“This procedural lapse in the present case is critical,particularly considering that the actual beneficiaries of the decision were the close relatives of the then chief minister and who were able to make windfall profit — not by way of appreciation in land price because of market forces — but because of their being able to purchase land after it was notified for acquisition and selling the same after it was de-notified,” the CEC stated.

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