The Andhra liquor scam grows murkier. The chargesheet alleges kickbacks of up to ₹60 crore per month were funneled to former CM Jagan Mohan Reddy. Shell companies, gold, luxury assets, and a high-level meeting at Park Hyatt mark the contours of a sprawling extortion racket.
BY PC Bureau
NEW DELHI: Former Andhra Pradesh Chief Minister YS Jagan Mohan Reddy has been named in a sensational ₹3,500 crore liquor scam, as per a 305-page chargesheet filed by the state police on Saturday. While the document claims Jagan received monthly kickbacks of ₹50–60 crore during the 2019–2024 YSR Congress Party (YSRCP) regime, it notably does not list him as an official accused.
According to the chargesheet, funds were routed through a web of political aides and shell companies. “The collected amounts were handed over to Kesireddy Rajasekhar Reddy (A-1), who passed them on to Vijay Sai Reddy (A-5), Mithun Reddy (A-4), and Balaji (A-33), eventually reaching Jagan Mohan Reddy,” the police stated. A key witness has reportedly corroborated this trail.
Rajasekhar Reddy is described as the “mastermind and co-conspirator”, who altered the state’s excise policy to facilitate kickbacks. He allegedly replaced automated OFS (Order for Supply) systems with manual ones and positioned loyalists in the Andhra Pradesh State Beverages Corporation Limited (APSBCL) to control operations.
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The chargesheet also alleges that ₹250–300 crore in cash was funneled into YSRCP’s election expenses, with coordination by Rajasekhar Reddy and former MLA Chevireddy Bhaskar Reddy. The illicit funds were purportedly invested in real estate, gold, and luxury assets across Dubai and Africa, using more than 30 shell companies.
🚨 Liquor Scam Chargesheet Explodes 🚨
SIT files 305-page chargesheet in #YSRCP-era ₹3,200Cr scam.
🔸Jagan’s name appears multiple times
🔸Shell companies, hawala, election funding exposed
🔸62Cr seized, 16 accused namedFull Story👇
— AP with CBN (@I_am_with_cbn) July 20, 2025
A key 2019 meeting at Hyderabad’s Park Hyatt Hotel, allegedly organised by Sajjala Sridhar Reddy (A-6), marked the beginning of this extortion scheme. Distillery owners were reportedly threatened into paying 12–20% kickbacks or face denial of supply orders. The chargesheet refers to this as an act of extortion under duress.
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The scandal intensified on Saturday when YSRCP MP PV Midhun Reddy was arrested by the Special Investigation Team (SIT) following extensive interrogation. In May, the Enforcement Directorate (ED) had also launched a probe under the Prevention of Money Laundering Act (PMLA).
Reacting to Midhun Reddy’s arrest, several senior YSRCP leaders—including Botcha Satyanarayana, Perni Venkatramaiah (Nani), Ambati Rambabu, Merugu Nagarjuna, and G Srikanth Reddy—issued a joint statement, terming the move as a “politically motivated witch-hunt” by the Chandrababu Naidu-led TDP government.
