The Enforcement Directorate (ED) has summoned YSR Congress Party MP PV Midhun Reddy for questioning in connection with the multi-crore Amaravati liquor scam. Midhun Reddy, representing Rajampet, has been directed to appear before ED officials on January 23. He was earlier arrested by the Andhra Pradesh Special Investigation Team (SIT) on July 19, 2024, in connection with the scam and was later released on bail on September 30, 2024.
SIT uncovers irregularities and kickbacks
The liquor scam, estimated at Rs 3,500 crore, allegedly occurred during the YSRCP rule and involved manipulation of the state’s excise policy. The SIT, formed to investigate after initial CID findings, revealed large-scale irregularities and misappropriation of funds over five years. Investigators allege that party leaders encouraged the new liquor policy, floated new brands, and received kickbacks from distillery companies, resulting in significant losses to the government.
Multiple accused named in the case
Several individuals have been named as accused, including MPs, retired IAS officers, distillery companies, and shell company owners. The case was registered at the CID Police Station, Mangalagiri, under sections 409, 420, 120(B), 34, 37 of IPC and various provisions of the Prevention of Corruption Act, 1988. Earlier, former Rajya Sabha member V. Vijayasai Reddy, who quit YSRCP and resigned from the Upper House in January last year, was also summoned by the ED and questioned as a witness.
The SIT investigation revealed a sophisticated kickback network, siphoning off nearly Rs 3,500 crore between 2019 and 2024. The probe continues, with the ED verifying assets and financial transactions of the accused, including Midhun Reddy.
Aries: The day will be auspicious...