Taking strong objection to Opposition YSR Congress’ criticism of white paper released by the Government on bauxite mining, Andhra Pradesh Finance Minister Yanamala Ramakrishnudu has charged YSRC President Y.S. Jagan Mohan Reddy with trying to hoodwink the people by distorting facts.
Mr. Ramakrishnudu on Friday termed as “painful” the YSRC’s efforts to indulge in mudslinging on the Government which brought out the facts pertaining to bauxite mining in the agency areas of Visakhapatnam. He said that the State had accorded permission to bauxite mining during the tenure of former Chief Minister late Y.S. Rajasekhara Reddy in 2007.
In the process, YSR had ensured that the permission to mine 224 million tonne of bauxite estimated to cost Rs.22,400 crore was given to his close associate Pratap Reddy.
The then Government had facilitated formation of ANRAK aluminium company, a joint venture of the Ras Al Khaima Government and Penna Group, which was given life-time permission to mine bauxite in 1,649 hectares in Chintapalli mandal of Visakhapatnam district.
“The YSR-led Government had given scope for illegal mining of the metal,” he alleged.
The Finance Minister alleged that Mr. Pratap Reddy was a benami of the former Chief Minister and he had a majority stake of 70 per cent in the joint venture. Subsequently, the Penna Group’s stake was increased to 87 per cent during former Chief Minister N. Kiran Kumar Reddy's tenure.
“There were irregularities in award of mining leases. The Government did not invite global tenders and instead, preferred to give leases on nomination basis to a single entity,” he alleged.
The Government headed by YSR also ensured that the recommendation made by high power committee to consult PWC to fix the prices was set aside and the process was handed over to CRU international for benefiting his associates. While permissions for the first stage were accorded during YSR’s tenure, the Kiran Kumar Reddy Government had approached the Centre for securing permissions for second stage in Jerrala and Chintapalli areas.
“Mr. Jagan should clarify whether he has business links with Penna Group or not,” he asked alleging that permissions were accorded to a hotel owned by Mr. Pratap Reddy during the YSR regime. Several officials who cooperated with the then Government were doing rounds to courts while several industrialists too suffered in the process.
“The YSRC president should clarify his stand on these issues before visiting the Visakhapatnam agency,” he said.
