Date:26/07/2007 URL: http://www.thehindu.com/2007/07/26/stories/2007072659820800.htm
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Andhra Pradesh

‘CM’s family not involved in OMC’

HYDERABAD: The Director of Mines and Geology, V. D. Rajagopal, has clarified that no family member of the Chief Minister Y. S. Rajasekhara Reddy was involved in Obulapuram Mining Company (OMC) as seen from its Articles of Association.

Referring to the leader of the Opposition, N. Chandrababu Naidu charge that it was a front company of Dr. Reddy’s family and published in various newspapers, Mr. Rajagopal also denied that his brother- in- law or other family members had a share in OMC.

In a statement, Mr. Rajagopal said the grant of lease in favour of OMC (for mining iron ore in Obulapuram in Anantapur district) was done after thorough scrutiny, following due procedures and rules, under Mines and Minerals (Development and Regulation) Act and Forest Conservation Act with prior approval of the Central Government.

Rejection

On the rejection of the application of G. Konda Reddy, son of Congress MLA G. Varadarajulu Reddy, he said it was not considered as it was 20th in priority and “as their capabilities are not comparable to that of OMC.”

The contention that these applications were issued in haste was baseless, he said.

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