CBI court gives clean chit to Yeddyurappa in Rs 40cr kickbacks case

BJP state president B S Yeddyurappa interacting with the media outside the CBI Special Court after his acquittal in Bengaluru on Wednesday | NAGESH POLALI
BJP state president B S Yeddyurappa interacting with the media outside the CBI Special Court after his acquittal in Bengaluru on Wednesday | NAGESH POLALI

CHENNAI: In a major relief to state BJP president B S Yeddyurappa ahead of the 2018 assembly election, a special CBI court acquitted him of all charges of accepting Rs 40 crore as kickbacks from mining companies when he was chief minister. The court on Wednesday gave a clean chit to Yeddyurappa and 12 others, including his two sons B Y Raghavendra, MLA and managing trustee of the family trust Prerana, B Y Vijayendra, a businessman, and son-in-law R N Sohan Kumar.

Pronouncing the 418-page judgment in a jampacked court, Special CBI Judge R B Dharmagoudar exonerated all 13 accused in the case, stating the prosecution had failed to establish their guilt under the IPC, Prevention of Corruption Act and Karnataka Land (Restriction on Transfer) Act.
After the verdict, the 73-year-old BJP leader tweeted, “Justice is done, I stand vindicated.”
The kickback case had cost Yeddyurappa his chief ministership in 2011 following indictment by the then Lokayukta Santosh Hegde. CBI had filed a chargesheet in 2012 against Yeddyurappa, his kin, Prerana Trust, South West Mining Company and Ballari-based JSW Steel. The chargesheet alleged payment of Rs 40 crore kickbacks, including Rs 20 crore to Prerana Trust, for granting favours, including mining licences, during Yeddyurappa’s chief ministership from 2008 to 2011.

On Wednesday, the judge noted there was no illegality in denotification of land in Rachenahalli village, Bengaluru. It was alleged that the 1.2 acre land was denotified and purchased by Yeddyurappa’s kin for Rs 40 lakh, who in turn sold it to South West Mining Company for Rs 20 crore. The judge further said Yeddyurappa did not favour JSW Steel Ltd in fixation of premium on iron ore fines, non-insistence on recovery of loss suffered by Mysore Minerals Ltd or in imposition of ban on export of  iron ore. The judge said the alleged conspiracy is only a suspicion of the prosecution and that these were collective decisions taken by the government.
The judge also said there was no proof that Yeddyurappa’s kin had influenced him to favour JSW Steel or that former minister Krishnaiah Shetty had abetted them to create a forged NOC to be issued by BDA for denotification of land.
The judge said the question of abetment does not arise as “there is ample evidence to show that after fixing premium of iron ore fines at 50 per cent, MML started making huge profit compared to previous years”.

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