The Andhra Pradesh government is preparing for a major and politically sensitive decision that could have wide ramifications. The state is moving closer to cancelling limestone mining leases held by Bharathi Cements, a company linked to the family of former Chief Minister Y S Jagan Mohan Reddy. What began as a routine notice from the Mines Department has now escalated into a full-blown legal and administrative confrontation.
The controversy surfaced after the Mines Department issued show-cause notices to Bharathi Cements, questioning the legality of limestone leases granted during the previous government’s tenure. The company responded strongly, challenging the very basis of the notice. It argued that the leases were allotted strictly in accordance with rules in force at the time and accused the government of acting with a predetermined intent to cancel them.
Bharathi Cements maintained that withdrawing the notice itself was necessary, claiming that the action violated principles of natural justice and lawful governance. The company also sought a personal hearing, stating that the provisions cited by the government did not apply to its case. However, the Mines Department rejected this demand and made it clear that the notice would not be withdrawn.
According to official sources, the government has now invoked provisions of the Mines and Minerals Development and Regulation Act of 1957. Authorities have asked why the leases should not be cancelled under Section 10A(2)(c) of the Act. After reviewing the company’s explanation, the Mines Department Director is believed to have recommended cancellation, citing violations of statutory provisions.
The leases in question were granted in February 2024 through a government order, allocating around 235 acres of limestone-rich land in Kadapa district for a period of 50 years. The government contends that the timing and manner of this decision amounted to a legal breach.
Interestingly, similar action is reportedly being considered against leases held by ACC and Ramco Cements as well. With files moving quickly, the Bharathi Cements issue has taken a decisive turn. The final decision, if implemented, is expected to trigger both legal battles and intense political debate in the state.
