Under the YSRCP regime, APSBCL allegedly favoured YSRCP-linked liquor brands, sourcing 74 percent of stock from just 16 firms. With 99.38 percent sales in cash, the setup enabled untraceable illicit profits
Published Apr 19, 2025 | 11:13 PM ⚊ Updated Apr 19, 2025 | 11:13 PM
SIT grills YSRCP MP PV Midhun Reddy
Synopsis: YSRCP MP PV Midhun Reddy was questioned by the SIT for over eight hours in Vijayawada on 19 April, in connection with the ₹4,000-crore liquor scam that allegedly occurred under the YSRCP government. Investigators sought clarity on his role in liquor procurement irregularities and recorded his statement, warning he may be summoned again as the probe continues
YSRCP MP from Rajampet, PV Midhun Reddy, appeared before the Special Investigation Team (SIT) on Saturday, 19 April, in Vijayawada, in connection with the investigation into the ₹4,000-crore liquor scam that allegedly flourished under the previous YSRCP regime between 2019 and 2024.
The SIT had issued him a notice, intending to seek clarifications regarding suspicions about his role in the scam. Officials grilled him for over eight hours until 6 pm on various aspects of the case before letting him go, and reminded him that he might have to appear again if necessary. They also obtained his signature on the statement recorded during his deposition.
Under the YSRCP government, the Andhra Pradesh State Beverages Corporation Limited (APSBCL) allegedly manipulated liquor procurement to benefit YSRCP-linked brands, with 74 percent of liquor sourced from just 16 firms. Over 99.38 percent of sales were reportedly conducted in cash, leaving no digital trail and enabling illicit gains.
Earlier, on Friday, 18 April, the SIT examined former YSRCP Rajya Sabha member V Vijayasai Reddy, who distanced himself from the scam. Instead, he accused Kasireddy Rajasekhar Reddy, former IT advisor to YS Jagan Mohan Reddy, of involvement in the deals that led to the scam.
Vijayasai Reddy admitted facilitating a ₹100-crore loan from Aurobindo’s Sharat Chandra Reddy when Midhun Reddy, Raj Kasireddy, and Sajjala Sridhar Reddy of SPY Distilleries approached him. The loan was disbursed in two tranches— ₹60 crore and ₹40 crore—to Adani Distilleries Pvt Limited and another company. He claimed he arranged the loan assuming Raj Kasireddy was trustworthy but later alleged Kasireddy had a “criminal mind.”
After questioning, Vijayasai Reddy did not confirm Midhun Reddy’s involvement, stating any perceived role would only emerge after the Rayachoti MP’s interrogation.
On Friday, Midhun Reddy appeared before the SIT with his advocate. He had sought court permission for audio-visual recording of the interrogation, but the plea was rejected. The court, however, allowed his advocate to observe proceedings from 10 feet away, provided there was no interference.
Meanwhile, Raj Kasireddy filed an anticipatory bail petition in the Andhra Pradesh High Court, posted for hearing on Monday, 21 April. He denied any connection to the scam, asserting that as an IT advisor, he merely performed his duties. The plea followed police searching his house in his absence, prompting fears of arrest.
Later in the afternoon, Raj Kasireddy released an audio clip claiming that he was innocent and refuting Vijayasai Reddy’s allegations that he was the scam’s key player. He stated he was fighting a legal battle with the SIT and would expose Vijayasai Reddy before the media at an appropriate time.
(Edited by Ananya Rao)