YSRCP MP Midhun Reddy arrested in Rs 3,200-crore 'liquor scam' in Andhra

Amaravati: Andhra Pradesh police on Saturday arrested YSRCP Lok Sabha member PV Midhun Reddy in the alleged Rs 3,200-crore liquor scam during the previous YSRCP regime.

The Special Investigation Team (SIT) probing the alleged liquor scam grilled Midhun Reddy for several hours today and followed it up with his arrest at around 7.30 pm in Vijayawada.

"Yes (he has been arrested). The process (to produce him before a court) is going on," Home Minister Vangalapudi Anitha told PTI over phone.

Midhun Reddy represents Rajampet constituency in Andhra Pradesh and is expected to be produced in a local court on Sunday.

The YSRCP leader arrived in Vijayawada earlier today to attend the probe and his questioning came in the wake of the arrest of other accused persons--Dhanunjay Reddy, Krishna Mohan Reddy and Balaji Govindappa.

In May, the Enforcement Directorate has also filed a money laundering case to investigate the alleged liquor scam.

The federal probe agency has filed an Enforcement Case Information Report (ECIR) under sections of the Prevention of Money Laundering Act (PMLA) to probe alleged irregularities in the sale of liquor in the state.

In the remand report of Kasireddy Raja Sekhar Reddy, the prime accused in the alleged liquor scam during the previous YSRCP regime in Andhra Pradesh, the SIT has named several people who played a key role between 2019 and 2024.

It named Vasudeva Reddy, Satya Prasad, Midhun Reddy, former YSRCP leader V Vijay Sai Reddy, Sajjala Sridhar Reddy, retired IAS officer Dhanunjaya Reddy, Krishna Mohan Reddy and Balaji Govindappa.

Kasireddy Raja Sekhar Reddy, who had served as the IT adviser to former Chief Minister YS Jagan Mohan Reddy, was allegedly responsible for the discontinuation of popular liquor brands and the promotion of blue-eyed brands' (favoured brands), along with other persons.

According to the SIT, up to Rs 60 crore worth kickbacks per month used to be allegedly extorted.

After collecting the kickbacks, the SIT alleged that Kasireddy Raja Sekhar Reddy used to send the proceeds to Midhun Reddy and others, among several other irregularities.

Meanwhile, a string of YSRCP leaders condemned the arrest of Midhun Reddy, calling it a clear case of 'political vendetta' by Chief Minister N Chandrababu Naidu.

In a YSRCP press release, former ministers Botcha Satyanarayana, Perni Venkatramaiah (Nani), Ambati Rambabu, Merugu Nagarjuna, and party general secretary G Srikanth Reddy expressed serious concerns over the alleged misuse of power to target opposition leaders.

"They said the arrest made after a full day of interrogation under the so-called liquor scam case shows how far Chandrababu is willing to go to suppress dissent. The leaders noted that such actions will not last long and that the public continues to support YSRCP more strongly than ever," the release said.

The YSRCP leaders warned that the ruling party cannot stop YSRCP by allegedly using fabricated cases or 'forced arrests' and added that the liquor scam is "entirely based on fabricated evidence and forced confessions".

Further, the YSRCP leaders alleged that it was Naidu who had "committed several irregularities" in liquor sales between 2014 and 2019 but is resorting to attention diversion now by creating a 'false narrative' built around arrests based on statements extracted under pressure.

They clarified that during the YSRCP government, the liquor policy was transparent and handled directly by the state, adding that the number of liquor shops was reduced, and belt shops and permit rooms were removed, the release said.

Moreover, they vowed to continue standing with the people and fighting against "political conspiracies with courage and determination".

Earlier today, the opposition party slammed Naidu for allegedly indulging in vindictive behaviour and foisting 'false' cases against people close to YSRCP supremo YS Jagan Mohan Reddy.

The case against Mithun Reddy is part of a larger vindictive conspiracy to arrest people who are in close proximity to the party leadership, said senior YSRCP leader Malladi Vishnu in a release.

"But we will bounce back to call the bluff of Chandrababu Naidu," he said, adding that the more vindictive the actions of the Naidu government, the stronger YSRCP's resolve becomes to fight back and expose the 'failures and corruption' of the coalition government.

Further, senior YSRCP leader L Appi Reddy said Midhun Reddy comes from a family with a long and distinguished political history.

"I am confident that justice will prevail and that the judiciary will act fairly. His (Midhun Reddy) decision to attend the inquiry shows his determination to prove his innocence and his respect for the rule of law," Reddy told PTI Videos.