The CBI court here on May 11 had granted conditional bail to Reddy though he is currently lodged in Bangalore central prison in connection with another mining case allegedly involving Associated Mining Corporation (AMC) and Deccan Mining Syndicate (DMS) owned by him and his wife Aruna Lakshmi.
Opposing the bail, the CBI in its arguments before the high court today apprehended that Reddy may influence and threaten the witnesses and tamper with the evidences.
After hearing the arguments, the high court suspended the bail orders till June 5 and called for counter from Reddy and posted the matter for further hearing till the same date.
Reddy and his brother-in-law B V Srinivas Reddy, managing director of the mining company, were arrested on September 5 from Bellary and brought to Hyderabad.
The CBI had filed a charge sheet against Reddy and others on December 3 in OMC case and took him to Bangalore in connection with another illegal mining case in Karnataka.
OMC is accused of changing mining lease boundary markings between Andhra Pradesh and Karnataka and indulging in illegal mining in the Bellary Reserve Forest areas, spread between Bellary district of Karnataka and Anantapur district of Andhra Pradesh.