In a shocking revelation, a major mining scam has come to light in YSR District, Andhra Pradesh. The son of a former high-ranking official allegedly misused his father’s influence to secure a barytes mining lease illegally. The scam took place during the YSRCP government’s tenure, with the involvement of key officials and a government entity.
The former official’s son, along with then Director of Mines, Venkata Reddy, orchestrated a plan to bypass standard procedures. Instead of following the usual e-auction or first-come-first-serve process for mining leases, they manipulated the system. They used a government entity, APMDC (Andhra Pradesh Mineral Development Corporation), as a front to secure the lease.
The lease was for a barytes mine in Palugurallapalle village, Brahmanagiri Matham mandal, Kadapa district. The land, spanning 24.5 hectares, was reserved for APMDC, and the mining rights were later sub-leased to a private company owned by the former official’s son.
The company, SR Barytes Mines and Minerals, was awarded the lease through a tender process in July 2023. Although three bids were shown to have been submitted, the contract was ultimately handed to SR Barytes. The company promised to pay the government a royalty fee for every tonne of barytes extracted and an additional 1.65 times the royalty value to APMDC.
Despite the tender being finalized in September 2023, the company has yet to formalize the agreement with APMDC, citing delays in obtaining environmental clearances.
With the change in government after the elections, the former official’s son is now struggling to complete the deal. As per rules, APMDC must hold a 26% stake in the joint venture company, which would then sub-lease the mining rights to SR Barytes.
The barytes mine in question has the potential to yield around 4,000 tonnes of barytes annually. With market prices ranging between ₹20,000 to ₹22,000 per tonne, the mine could generate an annual revenue of approximately ₹9 crore.
The scam has raised serious questions about transparency and accountability in the allocation of mining leases. Authorities are now under pressure to investigate the irregularities and take action against those involved.
