YSRCP MP Midhun Reddy Arrested in ₹3,200 Crore Liquor Scam in Andhra Pradesh

YSR Congress Party (YSRCP) MP Midhun Reddy was arrested by Andhra Pradesh Police on Saturday in connection with an alleged ₹3,200 crore liquor scam that occurred during the previous regime led by Jagan Mohan Reddy, news agency PTI reported.

Reddy, who represents the Rajampet constituency in Parliament, was taken into custody in Vijayawada around 7:30 pm after being questioned for several hours by the Special Investigation Team (SIT) probing the case. He had earlier arrived in the city to appear before investigators.

State Home Minister Vangalapudi Anitha confirmed the arrest, stating that the legal process to produce him before court was underway.

The arrest comes a day after the Supreme Court refused to grant Reddy protection from arrest. A lookout notice had been issued against him by the SIT and the Andhra Pradesh Crime Investigation Department (CID). Reddy had appealed for more time to surrender, but the court rejected his plea.

Several others accused in the case, including Dhanunjay Reddy, Krishna Mohan Reddy, and Balaji Govindappa, have also been arrested.

What is the Case About?

The ₹3,200 crore liquor scam involves alleged manipulation of the state’s excise policy to favor select liquor companies in return for kickbacks. The scheme reportedly operated through the Andhra Pradesh State Beverages Corporation Limited (APSBCL) between October 2019 and March 2024, during Jagan Reddy’s tenure as chief minister.

The investigation was triggered by a complaint from Y Venkateswar Rao Srinivas, who alleged large-scale irregularities in APSBCL operations. According to the complaint, purchase orders were issued for spurious liquor brands—some produced by private distilleries allegedly linked to YSRCP leaders. The complaint also claimed that officials accepted bribes to exclude established liquor brands from procurement lists.