Liquor 'scam': YSRCP MP played key role in policy changes

VIJAYAWADA: YSRCP MP PV Midhun Reddy, arrested by an Andhra Pradesh Special Investigation Team (SIT) in connection with the alleged liquor scam case, has been remanded in judicial custody till Aug 1. Following his arrest Saturday night, he was taken for medical exam to Vijayawada Govt Hospital on Sunday and later produced before ACB Special Court .

According to the remand report, Midhun Reddy has been named as accused No 4 in the case related to alleged irregularities in the state’s liquor policy between 2019 and 2024, resulting in a “misappropriation” of about Rs 3,500 crore.

The report alleges Midhun Reddy played a role in orchestrating policy changes and coordinating with co-accused to secure kickbacks from distilleries and suppliers.

The SIT alleged Midhun Reddy influenced Andhra Pradesh State Beverages Corporation Ltd officials.

According to SIT, kickbacks collected from liquor suppliers were routed through a hierarchical chain. The funds were first collected and handed over allegedly to Kesireddy Rajasekhar Reddy, who then “transferred” them to ex-MP Vijay Sai Reddy, Midhun Reddy, & businessman Govindappa Balaji. These individuals “transferred” money allegedly to ex-CM YS Jagan Mohan Reddy . To execute scheme, officers “amenable” to the accused’s designs were “strategically appointed to key positions” within govt.