B. S. Yeddyurappa - Exonerated Involvement in Mining Scam

Exonerated Involvement in Mining Scam

Allegations were made against him that he had used his official position to favour his sons in the allotment of land in Bangalore. One acre of land at Rachenahalli in Bangalore was purchased by his family for Rs 40 lakh (approx US$ 95,000) and was re-sold to a mining company for Rs. 20 crore ($ 4.8 million), resulting a significant profit. To refute the charges, Yeddyurappa declared his assets estimated at Rs. 11 crore – including 2.5 kg of gold and 76 kg of silver – to show that neither he nor his family members were involved in any financial irregularities. His assets were declared to be Rs. 1.82 crore in 2008, indicating a 500% increase in two years.

Political drama continued in the State after he challenged his rival H.D.Kumaraswamy to swear in front of Lord Manjunatha at Dharmasthala over the graft issue when Kumaraswamy claimed that the Chief minister had tried to buy peace with him. Although Kumaraswamy accepted the challenge, the whole Dharmasthala show down turned out to be a flop show after Yeddyurappa backed of following the advice of his party national president, Nitin Gadkari, who was concerned with the mixing of temples with politics.

In January 2011, two lawyers of the Karnataka High Court Sirajin Basha and K N Balraj approached the Governor seeking his permission to prosecute Chief minister Yeddyurappa and the Governor H.R. Bhardwaj sanctioned their request.

The Lokayukta report submitted on 27 July 2011 stated that there is sufficient evidence to indict Yeddyurappa and recommended his prosecution under the Prevention of Corruption Act over various land deals. In addition, it also stated that there is evidence to prove that he had granted illegal mining licenses to mining companies and benefited through them.

The Lokayuta Report caused demands from within his party for his resignation, which he initially resisted. However, Following the submission of the Lokayukta report, he resigned on 31 July 2011.

After accepting the Lokayukta report, Governor Bhardwaj again approved the prosecution of Yeddyurappa and the Karnataka High Court also allowed the police to question him.

Yeddyurappa was arrested on the evening of 15th Oct 2011, hours after an arrest warrant in two cases of corruption for illegally denotifying land in and around Bangalore. Later, He was granted bail on 8 November 2011 after spending 23 days in jail.

However in March 2012,the High Court of Karnataka quashed the FIR registered against him regarding the Mining scam. A division bench comprising Justices Bhakstavatsala and Govindaraju passed the order stating that "Suspicion cannot be a ground to tarnish the image and reputation of a person who is holding a Constitutional post. Even during the course of argument, a specific question was put to Lokayukta counsel to produce any material to connect the petitioner for alleged offences, but he was mum and did not indicate any favours shown by Yeddyurappa as the chief minister to any mining company". In May 2012, the Supreme Court, temporarily stayed the case on this matter and ordered an official CBI enquiry, to be completed within three months. On 25 July 2012, Karnataka High Court granted anticipatory bail to Yeddyurappa in a case relating to alleged irregularities in denotification of government land in 2009.