The AP government had to spare the miner and Karnataka minister Mr. Gali Janardhan Reddy from booking in a forgery case. While taking action against Mr Reddy's controversial company, Bramhani Steels, for willfully providing false information regarding raising loans for the proposed steel factory. The government decided to file a criminal case against the company's management.

According to highly placed sources, the Kadapa district administration sought advice from the State whether a case should be booked against Mr Janardhan Reddy. It is said that the higher ups took a 'conscious decision' and kept Mr. Janardhan Reddy out of the case. Accordingly, the Kadapa Collector filed a case against the local Plant Manager in stead of the management of the company.

Filing of the case against Brahmani Steels became necessary because of the company telling AP that it had not raised any loans. The information was sought in connection with a question raised in the AP Legislative Council. The government placed the same information in the Council and had to draw flak when TD came out with proofs that company had borrowed from banks.