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‘Yeddyurappa misused office to help family'

— PTI Photo

Another charge:The former Chief Minister H.D. Kumaraswamy at a press conference in New Delhi on Wednesday.

NEW DELHI: Firing yet another salvo at Karnataka Chief Minister B.S. Yedyurappa, Janata Dal (Secular) leader and former Chief Minister H.D. Kumaraswamy on Wednesday charged Mr. Yeddyurappa with “misusing” his office to favour his family members.

Addressing a press conference here, he alleged that Mr. Yeddyurappa helped his family members acquire a cement company in Belgaum district and gave them “preferential” allocation of lease for limestone mining to the extent of 1,417.5 acres.

Appealing to the Union Finance Ministry to institute a probe into the “scam”, Mr. Kumaraswamy alleged that the company was being used by some senior BJP leaders for “parking” money. “If a probe was conducted, many big fish in the BJP at the national level would get exposed,” he added.

He said Mr. Yeddyurappa's family members had initially bought a Kolkata-based non-banking financial company at a throwaway price in 2009 and subsequently, through this company, acquired the cement firm by questionable means. The cement firm was helped to get a waiver of Rs.7.5 crore due from it as the interest on a loan it had taken from the Karnataka State Industrial Investment Development Corporation before it was taken over by Mr. Yeddyurappa's family members, he charged.

After the takeover, the company was once again helped to obtain a lease for the mining of limestone over 1,417.5 acres without approval from the Union Ministry of Environment and Forests, he alleged.

Firm denies charges

Bangalore Special Correspondent writes:

Ratna Cements (Yadwad) Ltd. has clarified that Mr. Yeddyurappa, either as Deputy Chief Minister or Chief Minister, had not granted any undue favours to the company that may have caused loss to the State exchequer.

“Neither the Chief Minister or any of family members have any controlling stake in the company,” the statement issued by the company said before labelling the allegations made by Mr. Kumaraswamy “ill-conceived and travesty of truth”.

“None of the allegations pertain to the period when Mr. Yeddyurappa has been in power. On the contrary, they pertain to the period of Governor's [President's] rule,” the statement said.

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