Giving a breather to Reddy brothers of Bellary,Andhra Pradesh High Court on Friday permitted Obulapuram Mining Company (OMC),owned by the brothers,to resume mining operations.
A Division Bench of the court set aside Andhra governments ban on mining and transport of iron ore by OMC. The ban was imposed after a Central Empowered Committee reported OMCs illegal mining activities to the Supreme Court.
The Bench ordered Andhra to fix and identify lease hold areas of OMC and permit it to continue mining operations in the designated lease hold areas. The court,however,ordered OMC not to mine in a disputed area a 40-metre area in Malpangudi village. OMC can lift its existing stock of 1.95 lakh tonnes of iron ore after furnishing bank guarantee,as per rates fixed by Indian Bureau of Mines,and paying the fees,the court said.
The court also ruled that the Central Empowered Committee had acted beyond its purview and finalised its report without giving an opportunity to the respondents to respond to the alleged charges.
OMC said the court order had vindicated its stand. We will come out clean from the illegal,atrocious,vindictive and malafide actions of both Andhra Pradesh government and the Centre, OMC Managing Director Srinivas Reddy said.