Saturday, 30 July 2011

Santosh Hegde ‘God Father’ BSY ‘God Mother’ of Iron Mining Scam – Exclusive

Santosh Hegde ‘God Father’ BSY ‘God Mother’ of Iron Mining Scam – Exclusive

It was PILs in the Supreme Court that forced Santosh Hegde to come up with this watered down report on illegal mining. As late as 06/05/2011, Bhushan sabotaged investigation done by CEC – demanding inclusion of Lokaykta team about to retire in two months that forced Hedge to hurriedly compile the report otherwise would have retired with zero performance.

I was never convinced about capability of Bhushan and always doubted the integrity of Bhushan and Santosh Hegde. I have no doubt after analyzing the Lokayukt Report, CEC Report and Mining Industry’s own figures Santosh Hedge is God Father of the Mining Mafia along with Chief Minister Yadurappa.

Grounds – Both Santosh Hedge didn’t order to and Prashant Bhushan didn’t pray for District Magistrates and SSP of districts to stop illegal mining in forest areas and monitor movements of trucks, install Weigh Scales at all exit points to record exports of iron ore.

And when cost of mining and transportation to ports was just under Rs.500 per tone for export value of Rs.5000 per tone why Hegde and Bhushan didn’t recommend PSU control of the entire operations, Karnataka earning over Rs.1,00,000 crores for its people i.e. enough to announce tax free budget for 10 years or Karnataka to have tax free budget for decades.

- In Supreme Court order of 06/05/2011 Santosh Hedge gave a figure of just 147 hectare under illegal mining out of just 1081 hectares under illegal encroachments in his first report 18th December, 2008 when illegal iron ore mining was widespread. Can you believe this?

- Date: 06/05/2011. These Matters were called on for hearing today.

However a request is made by Shri Prashant Bhushan, learned counsel for the petitioner in Writ Petition 562 of 2009 that the team should include the

representative of the Karnataka Lokayukta. Accordingly, we direct that the said team shall consist of the following: (i) Senior representative of the Forest

Department (ii) Senior representative from Department of Mines and Geology, State of Karnataka.

From 30MT IO Exports 7 Yrs to 125.7MT in 4 Yrs. to 250MT Industry

- As per the Statement of BSY from 2003-04 to 2009-10, 47 million tones of iron was permitted for exports but reported exports were 77.5 million tone – excess of 30.5 million tones only.

- The total export of iron ore of Karnataka origin during the period 2006-07 till 2010 was 12.57 Crore MT. (125.7 million tones) The figures exclude exports through Murmagao and Panaji ports and exports by M/s Obulapuram Mining Company and M/s Y Mahabaleshwara.

40.7 MT Exports, Reported by BSY at 10.8 MT, Hegde at 21.15 MT but only 3.18 MT Illicit.
- Mining Industry reported production of 40.719 million tones for 2006-07, BSY reported 10.8 million tones of exports and Lokayukta 21.15 million tones. But Santosh Hegde concluded out 21.15 million tones illicit exports were just 3.184 million tones and watered down Illicit Exports to 29.8 million tones Loss of Rs 12,228 crores only. ‘As computed in the table above, estimated value of 2,98,60,647 Metric Tons of illicit iron ore exported during the period 2006-07 to 2010 is Rs 1,22,28,14,22,854/-‘
- Going by Mining Industry figures from 2003 onwards over 250 million tones of iron ore was illegally mined and exported that at average profit margin of Rs.4000 per tone Rs. 1,00,00 crore scam.
- Though Prashant Bhushan who is petitioner in the supreme court alleged Rs.54,000 crores annual loot in Karnataka alone or Rs.270,000 crores in 5 years.
Ravinder Singh
July29, 2011

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