“Time takes it all whether you want it to or not.” Once mining lords, the Reddy brothers of Karnataka could not agree more. Finding themselves at the receiving end are the Lads as well. The two mining families—the Reddys and the Lads—who gained unheard-of riches and ruled the ‘Republic of Bellary’ in Karnataka over the last decade, are coming apart at the seams, post the crackdown by the CBI on their empire and the formation of the Congress government.
G Janardhan Reddy, who rode to riches on booming iron ore exports and virtually lorded over the BJP in Karnataka for over five years, recently completed two years behind bars on charges of illegal mining. If the jailing of Janardhan led to his “adopted brother” and inseparable aide B Sriramulu distancing himself, the recent allegations against Infrastructure Minister Santosh Shivaji Lad by his older cousin, fellow Congress MLA and business partner Anil Heeroji Lad has cracked apart a family that was, till now, presenting a united front on all issues, business or personal.
“In both cases, it is intra family personal matters that have led to cracks in the relationships. Neither politics nor money is the actual factor,” political analyst M Madan Mohan said.
Anil alleged that like himself and Janardhan, Santosh is also named in the Lokayukta report on illegal mining. This statement led to the BJP, social activists and a part of the Congress demanding Santosh’s dismissal from the Siddaramaiah ministry, which prides itself on being ‘clean’.
The situation in the Reddy camp is similar. Sriramulu and Janardhan’s two brothers—Karunakar and Somashekhar—were directors of the infamous Obalapuram mining company along with Sriramulu. Sriramulu was also Janardhan’s political front for a long time and his hatchet man.
A source close to the Reddys said Sriramulu and Janardhan, who even floated the Kannada TV channel Janasri combining their names, finally fell out over the former’s nephew and MLA Suresh Babu. Janardhan got close to Babu and Sriramulu didn’t like that. With the downslide in their fortunes after the CBI crackdown, Sriramulu has now refused to fund Janardhan in jail, while Karunakar is keeping a very low profile. Only Somashekhar is keeping in touch with Janardhan.
Janardhan and his wife Laskhmi Aruna own the Obalapuram Mining Company which operated in Andhra Pradesh. They also own Associated Mining Company which operated in Karnataka. Janardhan obtained his first iron ore mining licence in Karnataka in 2004, when the Congress party led the state government. Born into a Telugu-speaking family of an Andhra Pradesh police constable, Janardhan also wields considerable influence in Andhra. He was close to former chief minister Y S Rajasekhara Reddy and his son Jagan Mohan. It is alleged that it was this influence that he wielded with the Congress party that enabled him to obtain the iron ore mining licence. Janardhan is said to have designed a “zero-risk system” of iron ore mining, where he seamlessly provided protection to unauthorised and unaccounted mining. The rule of the iron ore mafia under his command was called the “Republic of Bellary”.