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Expert committee to examine illegalities by JSW, Adani in mining

The SC has asked its expert committee to examine the alleged illegalities committed by companies involved in mining which have been indicted in the Lok Ayukta report.

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The Supreme Court today asked its expert committee to examine the alleged illegalities committed by other major companies involved in mining activities in Bellary district of Karnataka and neighbouring Andhra Pradesh which have been indicted in the Lok Ayukta report.

An NGO, Samaj Parivartana Samudaya, has sought the extention of the CBI probe to cover the two other major companies of M/s Adani Enterprises and M/s Jindal Steel (JSW) that have been strongly indicted in the Lokayukta report for illegal mining of iron and ore.

However, a special forest bench headed by Chief Justice S H Kapadia said it cannot straight away accept the plea of extending the CBI probe on the basis of the Lok Ayukta report and would ask the apex-court appointed Central Empowered Committee (CEC) and Attorney General G E Vahanvati to look into the issue.

"We will ask the CSE and the Attorney General to look into it," the bench, also comprising justices Aftab Alam and Swatanter Kumar, said.

"We are equally concerned about the issue but it has to be done within a proper legal framework. We want to go in a particular and systematic manner," the bench said while posting the matter for January 20.

The apex court had on September 23 directed a CBI probe against two companies -- Associated Mining Co (AMC) and Deccan Mining Syndicate -- for alleged illegal mining of iron and ore.

Advocate Prashant Bhushan, appearing for the NGO, said the Lok Ayukta report had made detailed and specific charges of serious illegalities against Adani Enterprises and JSW.

"The illegalities of these two companies are not only linked with the persons and matters that are the subject matter of current CBI investigations but also involve top public servants and public representatives," he said.

The NGO referred to the Lok Ayukta report to allege that powerful corporate entities such as Adani Enterprises are involved in the "theft" of 5.5 lakhs tons of iron ore from Belikere port.

It said the Lok Ayukta report has documented in detail the bribes paid regularly by Adani Enterprises to various officials of the Port and the Police Department.

The NGO charged serious illegalities have been detailed against JSW and its front company South West Mining Company (SWMC).

It also alleged JSW has been indicted by the Lok Ayukta for making illegal payments of Rs 30 crores to close relatives of the then Karnataka Chief Minister BS Yeddyurappa.

The NGO has also sought a direction for Karnataka and Andhra Pradesh to demarcate the inter-state boundary in a time-bound manner as the report categorically recommended that all mining operations, including transportation of already mined material, should remain suspended till the inter-state boundary between the two states is formally determined and physically laid on the ground.

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