The Anti-Corruption Bureau (ACB) court in Vijayawada sent YSRCP MP PV Midhun Reddy to judicial custody till 1 August in connection with the alleged multi-crore liquor scam. Reddy, considered close to former Andhra Pradesh chief minister YS Jagan Mohan Reddy, was arrested by the Special Investigation Team Saturday evening after the Supreme Court refused to grant him protection from arrest.
The three-time MP from Rajampet was designated as accused number 4 by the investigators in the liquor scam, in which irregularities were allegedly committed to gain undue pecuniary advantage from certain distilleries and suppliers of liquor, and causing severe losses to the government exchequer. Meanwhile, former chief minister YS Jagan Mohan Reddy condemned the arrest as “illegal” and said Midhun Reddy was falsely implicated in the case as a part of the TDP government’s vendetta.
Arguing for the remand of the YSRCP MP, the court was told there was clear evidence of his role in the money trail. The kickbacks were funnelled through shell companies and hawala routes to PLR Projects Private Limited, which is closely linked to his family and Dear Logistics, belonging to his close associates. The SIT claimed the MP was also instrumental in the appointment of D Satya Prasad as special officer in Andhra Pradesh State Beverages Corporation Limited, who ensured that companies that paid kickbacks received supply orders. He was promised a non-cadre IAS promotion in lieu of his role in the scam.
Midhun Reddy was described as a core conspirator from inception to execution, orchestrating policy changes and coordinating with co-accused to secure kickbacks from distilleries. “The ill-gotten money was spent during the General Elections 2024 within several constituencies in the state of Andhra Pradesh for obtaining undue political advantage,” stated the SIT.
The investigators also complained that Midhun Reddy was not cooperating, stating, “A4 was found to be non-cooperative and evasive. He categorically denied all linkages despite being confronted with documentary evidence. His responses were vague, misleading, and reflective of a deliberate intent to obstruct the course of the investigation. He denied knowledge of the companies involved, feigned ignorance of the payments received by the PLR projects and failed to provide any plausible explanation for the preferential treatment accorded to certain distilleries and brands.”
Condemning the arrest in a long post on ‘X’, YSRCP chief YS Jagan Mohan Reddy said, “The TDP’s real agenda is now clear. They want to use the SIT to arrest YSRCP leaders under the guise of an investigation and drag the legal process to keep them in jail indefinitely. YSRCP leaders are being arrested not because they are guilty but because the party remains deeply rooted in the hearts of the people. This is not a legal process. It is a political witch hunt aimed at destabilising a strong opposition.”