SC Orders Fresh Probe Against IAS Officer Srilakshmi in OMC Case
In 2022, the High Court had ruled in favour of Srilakshmi, discharging her from the OMC case.
Hyderabad: The Supreme Court on Wednesday overturned the Telangana High Court’s 2022 judgment that had discharged AP IAS officer Yerra Srilakshmi from the Obulapuram Mining Company (OMC) illegal mining case. With the apex court ordering a fresh trial of Srilakshmi’s role in the Obulapuram mining scam, the officer will have to attend hearings before the CBI court here.
Only on Tuesday, the CBI court in Hyderabad had found OMC owner Gali Janardhan Reddy and six others guilty in the case, including former mines officer V.D. Rajagopal on misuse of office and other charges.
The same allegations were made by the CBI against Srilakshmi, Accused No. 6 in the OMC case. As secretary of industries in the undivided AP government, Srilakshmi on 18.06.2007 issued a final recommendation prioritising OMC and sidelining competing firms like Sathavahana Ispat Nigam Ltd, despite its operational a pig iron plant. She also omitted the words “captive usage”, which allowed the OMC owners to sell the ore elsewhere.
The justification for prioritisation was an alleged plan to establish an integrated steel plant, Brahmani Industries Ltd. Srilakshmi’s recommendation was approved the same day, and a GO was issued, granting the mining lease to OMC in respect of 68.50 hectares in Survey No.s 1 and 2, Anthargangamma Konda, Siddapuram and Malapanagudi, which was contrary to the notification dt.12.07.2004.
There were allegations that Srilakshmi deliberately omitted the term "captive usage" from the lease, facilitating ore exports and local sales, contrary to public policy. The lease deed was executed on 19.06.2007 between the assistant director of mines and geology and B.V. Srinivas Reddy of the OMC. Despite the government of India's directives, reasoned orders explaining the reasons for rejection of other applicants were never submitted.
It was mentioned that Srilakshmi persistently advocated allotment of the areas to OMC by bringing the matter to the attention of the then minister of mines. However, the minister declined her request and instructed her to not pursue the matter. All the allegations against Srilakshmi are to be examined in the trial in the CBI court by examining the witnesses and others who have been convicted in the case and those acquitted.
