G. Janardhana Reddy

Gali Janardhana Reddy
Minister in the Government of Karnataka
In office 31 May 2008 – 3 August 2011
Member, Legislative Council
Incumbent
Assumed office 18 June 2006
Personal details
Born	(1967-01-11) 11 January 1967 Bellary, Mysore State, India
Nationality	Indian
Children	2
Occupation	Businessman (GJR Group CMD)
Website	Website

Gali Janardhana Reddy (born 11 January 1967) is an Indian politician and belongs to Bharatiya Janata Party and is one of the richest politicians in Karnataka. he worked as Bellary district BJP President subsequently he was elected as a Member of Legislative Council in 2006 and further he became a Cabinet Minister for Tourism and Infrastructure in B. S. Yedurappa Cabinet, and he was made as Bellary dist. Incharge Minister and in the same capacity he developed the Bellary dist. in many folds. Subsequently, she was implicated in illegal mining scam in Bellary and the related Belekeri port scam.^[1] In 2009, the Supreme Court of India-appointed Central Empowerment Committee recommended action against Reddy-owned Obulapuram Mining Company.^[2] An FIR in the case was filed by the Central Bureau of Investigation. Also, Santosh Hegde, the Lokayukta or ombudsman of Karnataka state, has made allegations against Mr. Janardhana Reddy of illegal mining and he was taken in to judicial custody for a period of 42 months.

Life

Janardhana Reddy has two brothers and one sister, brothers G. Karunakara Reddy and G. Somashekara Reddy and elder sister Rajeswari were born at Bellary, Karnataka to Smt. Rukminamma and Chenga Reddy who worked as a constable in the Police Department. He and his brothers transformed themselves in less than a decade from industrialists into political bosses who dominated local government in the Bellary district, which holds the state's richest iron ore deposits.^[1]

Janardhana has a Pre University college education. He came into the limelight during the Lok Sabha elections in 1999, when the Reddy brothers worked in the campaign for Sushma Swaraj who contested for MP as a BJP candidate in Bellary , against Sonia Gandhi. Though Swaraj lost, she remained a patron of the Reddy's, and was known to visit Bellary frequently. However, after the mining scandal broke out and the Reddy brothers were indicted, charge sheeted and sent to judicial custody, Swaraj distanced herself from them, but the people perception is different and people are thinking/openly speaking that Swaraj should not have left Reddy abruptly on the allegations of illegal mining without knowing the facts, and Sushma Swaraj, having a long political career and stature leaving Reddy's with their fate by no supporting them when they were in a deep trouble is a stigma in her political career. Sushma's association with the Reddy brothers tarnished her image as well. Reddy's brought bad reputation to BJP in Karnataka and exposed opportunistic politics in the state.^[3]

Business History, Growth of Influence and Wealth

At the age of 21, Janardhana Reddy established a Residuary Non-Banking Finance Company under RBI in the year 1989 and name of the company was Ennoble India Savings & Investment Company Limited spreading across South India with total 125 branches with turnover of 350 crores company is still working but it has stopped collecting deposits from 2003 and he surrendered the Certificate of Registration to RBI^[4][5] after paying back the entire money with interest to all his depositors and he was the first person in India from Non-Banking sector to obtain an appreciation letter from RBI.

In 2001, GJR have taken over a mining company called OMCPL which was holding an Iron-Ore mining lease, and the lease area contains large quantity of Iron-Ore fines than lumps and at that time there was no market for Iron-Ore fines.^[6] All his business and political enemies thought that he is no more in the race, but in year 2003 a huge demand has come for Iron-Ore fines and he took off and their raise has been meteoric.^[1]

Involvement in Karnataka politics

In 2001, first time BJP won the Local Municipal Elections at Bellary and in 2004 first time in the history of Karnataka one BJP MP and three BJP MLAs have won from Bellary dist. In 2005 first time BJP formed Zilla Parishat at Bellary and it continuously won 3 times in a row and also BJP won Bellary MP Seat continuously for 3 times in a row, with active participation of Janardhana Reddy. In 2006, BJP-JDS coalition Government with the efforts of Janardhana Reddy, B. Sriramulu was made has a Cabinet Minister and in 2006, Janardhana Reddy was recognized for his active role and efforts to raise BJP, he was made as MLC. Later days he fought against the Chief Minister H. D. Kumaraswamy and made allegations and gave proofs against H. D. Kumaraswamy that he is a corrupt politician for which he was suspended from the BJP party and when it was the turn to hand over 20 months government to B. S. Yeddyurappa, H. D. Kumaraswamy did not do so and cheated B. S. Yeddyurappa at that time party State President D. V. Sadananda Gowda and B. S. Yeddyurappa revoke the GaliJanardhana Reddy suspension and he along with B. S. Yeddyurappa toured and campaigned for BJP during Assembly Elections in 2008 and his efforts came as flying colors as BJP emerged as a single largest party with 110 seats and again with GJR initiative, with the support of 5 independent MLA's BJP for the first has formed government in South India on its own. GJR was inducted as Tourism and Infrastructure Minister and Bellary dist.^[7] Incharge Minister and has set many milestone in the development of state in general and Bellary dist.^[8][9] in particular. In spite of many allegations and after spending 42 months in judicial custody GJR still enjoys the place of most popular politician which was witnessed by entire state on 29 January 2017^[10][11] when he got a standing ovation from 5lakh crowd at HemaVema function in palace ground at Bangalore.In the karnataka assembly polls in 2018 he did not contest but both his brothers along with his friend sriramulu and other 4 candidates said to close to him also got ticket from BJP.

Involvement in Andhra Pradesh Politics

It is alleged that it was this influence that wielded with the congress party that enabled him to obtain the iron ore mining license in Anantapur district from the congress state government in AP in 2004.He was a staunch follower of Dr. YSR. Many times, He even referred Dr. Ysr as his father figure. Mr GaliJanardhanreddy with a good motive and intention established Bramhani Industries (A steel manufacturing unit) in a backward district of Kadapa to provide employment for more than 10000 people directly and indirectly. GJR family and their group companies are the main promoters of the Brahmani Industries. The establishment of Brahmani Industries was also the part of Dr. YSR's vision to develop backwarded Kadapa district as a whole .^[12][13][14]

Social Service

GJR is running a school for mentally retarded children since 1997 and an Old age. Home from 2004 with his own funds and he is very kind enough and liberal in giving donations for good cause whoever come and approach.

Implication in 2011 Lokayukta report on Illegal Mining

In July 2011, the Lokayukta of Karnataka, Santosh Hegde, published a report on the illegal mining activities in the Bellary region. Janardhana Reddy was accused of completely rigging the iron ore mining in this area and defrauding the government. Directorate General of Income Tax Investigation officials had clues to tax evasion and found that Reddy had entered into a MoU with a one-dollar company of Singapore to camouflage the company's income suppression. They raided the place along with other investigative agencies and formed a report which was the basis of the report on illegal mining. Reddy is said to have designed a "Zero-Risk system" of iron ore mining, where he seamlessly provided protection to unauthorized and unaccounted mining, with active connivance from government officials at all levels. The rule of the iron ore mafia under his command was called the "Republic of Bellary" in which no external control or governance mechanism had any effect.^[15][16]

Arrest

Janardhana Reddy was arrested on 5 September 2011 by the CBI, and taken to Hyderabad, the capital of the neighboring state of Andhra Pradesh.^[17] He is accused of being involved in illegal mining of iron ore in Bellary in Karnataka and Anantapur in Andhra Pradesh. This investigation is the culmination of a recommendation to Income Tax Department and CBI by the former Andhra Pradesh chief minister K. Rosaiah and not directly related to the findings of Karnataka Lokayukta Santosh Hegde.^[18] After the CBI court heard his lawyers representations, he along with his brother-in-law, B. V. Srinivas Reddy was remanded to judicial custody and sent to Chanchalguda Jail.^[19] The CBI in its ongoing investigations also arrested senior officers of the IAS and IRS.^[20][21][22] A CBI court on 4 August 2012, extended the judicial custody of Janardhana Reddy and four others arrested in the illegal mining case till 7 September.^[23] SC grants bail to mining baron Janardhan Reddy on 21st Jan 2015.

Allegation of Judicial Bribery

The CBI is also investigating the alleged bribing of Hyderabad Special Court judge T.Pattabhirama Rao to secure bail for G. Janardhana Reddy in the Obulapuram Mining Company case, by his family members (G.Somashekar Reddy & H.Suresh Babu). Further investigations by CBI implicated others, including a retired judge T.V. Chalapathi Rao, in the "Cash for Bail" scandal^[24]

On the above allegations the IT department issued notices and GJR has given explanation bringing aĺl facts to the department's notice but  they were rejected by the CIT Appeals. But Mr.GJR has preferred appeal in all the matters before the Hon'ble ITAT  and the Hon'ble Tribunal has allowed all appeals in favor of Mr.GJR by dismissing the stand taken by the IT department.[25][26]

Daughter's Lavish Wedding

Reddy was criticised over lavish spendings of his daughter's Brahmani 's wedding which was held in Palace Grounds, Bangalore. He allegedly spent 500 crores (£59 million) for his daughter wedding. Married to a 23-year old MBA graduate who hails from a family operating gold mines in South Africa, Tanzania and granite marble businesses in Turkey.^{[27][28][29][30]} . About 50,000 guest where invited to the wedding party. Based on these news reports, the IT department issued a notice asking for expenditure details of wedding and GJR gave a detailed account for Rs 30 crores including the jewelry. The IT department was satisfied with it and closed the case after enquiring with all the suppliers concerned.

References

External links

• G. Janardhana Reddy at the Karnataka Legislative Assembly website
• Photo of Janardhana Reddy in NYT slideshow