HYDERABAD: The Central Bureau of Investigation (CBI) on Wednesday told the Telangana High Court that IAS officer Y Srilakshmi, A-6 (Accused No. 6) in the Obulapuram Mining Company (OMC) case, and former secretary of the Industries department, misused her position to favour OMC.
The CBI alleged that Srilakshmi, in collusion with then director of Mines VD Rajagopal, demanded large bribes from other applicants for mining licences while extending undue benefits to OMC and its promoters, Gali Janardhan Reddy and BV Srinivas Reddy. Her decisions allegedly enabled financial gains for OMC, bringing her actions under the Prevention of Corruption Act.
The agency claimed that when one Shashikumar applied for three prospecting licences, officials demanded bribes instead of processing the applications lawfully. It said Srilakshmi bypassed norms to grant leases for 8.5 and 30.5 hectares to OMC, disregarding 30 earlier applications. Only two applications linked to Janardhan Reddy were considered, while others, including those from Vinayaka Mining Company, were rejected.
All rejections were reportedly issued on a single day without allowing the mandatory 15-day response period. On the same day, leases were granted to OMC.
The CBI said Srilakshmi rejected applications from Satyavahana Ispat Ltd, established in 1992, for captive mining, but approved leases for Brahmani Industries, allegedly connected to Janardhan Reddy, citing a `150 crore investment.
The CBI further submitted that Janardhan Reddy and his associates obtained illegal leases and used them to conduct unauthorised mining elsewhere, earning profits through illegal mineral sales.
During Wednesday’s hearing, CBI special counsel Srinivas Kapatia said there was enough evidence to establish Srilakshmi’s misuse of authority. However, senior advocate K Vivek Reddy, appearing for her, argued that the lease approvals were made before she became Secretary. He pointed out that the CBI court had discharged the then secretary.
The Telangana High Court adjourned the matter to Thursday.
