The searches by the eight member CBI team come after the investigative agency filed a case on October 4 against DMS for allegedly encroaching mining areas belonging to NMDC. NMDC had filed a police complaint alleging that DMS had encroached on its mining areas.
The Central Empowered Committee's report had also referred to DMS getting into a deal with Associated Mining Company to extract ore from its mining lease area when its extraction activity was centred in Andhra Pradesh at the NMDC site.
On July 29, the Supreme Court had ordered immediate suspension of mining and transportation of iron ore from Bellary district, stating that "over-exploitation" of the area has caused large-scale environmental degradation.
The court passed the order by taking note of the report of its expert panel, Central Empowered Committee, which said most miners in the region were indulging in illegal mining, causing considerable environmental damage.