The Special Investigation Team (SIT) police arrested retired IAS officer and former Secretary in the CMO K. Dhanunjaya Reddy and Officer on Special Duty (OSD) P. Krishna Mohan Reddy in the alleged liquor scam.
The SIT officials questioned Mr. Dhanunjaya Reddy and Krishna Mohan Reddy for three days before announcing their arrest on Friday.
It was alleged that some YSR Congress Party leaders and bureaucrats introduced new liquor policy, formed into a syndicate, collected huge amounts from some distillery companies and allegedly amassed huge amounts.
The accused had caused more than ₹3,000 crore loss to the government’s exchequer from 2019 to 2024, the police alleged.
The police, who launched a thorough probe into the multi-crore scam, questioned Rajampet MP P.V. Midhun Reddy, former Rajya Sabha Member V. Vijaya Sai Reddy and a few others. They arrested then IT Adviser to Government Kessireddy Raja Sekhar Reddy, Bharati Cements director Balaji Govindappa and a few others in the case so far.
Investigation officers grilled Mr. Dhanunjaya Reddy and Mr. Krishna Mohan Reddy for about 12 hours on Thursday, and after day-long questioning on Friday, the police announced that the accused were arrested in the liquor scam.
SIT officials reportedly asked about the new liquor policy, collusion between the Andhra Pradesh State Beverages Corporation Limited (APSBCL), other officers and YSRCP leaders, floating of new liquor brands, commission received from the distillery companies and other details from the accused.
The police, who seized the mobile phones from Dhanunjaya Reddy and Krishna Mohan Reddy, enquired about their contacts before their arrest.
With the Supreme Court dismissing their anticipatory bail petitions on Friday, the SIT arrested the accused, and they would be produced in the Anti-Corruption Bureau (ACB) Special Court in Vijayawada, a senior police officer told The Hindu.
Published – May 17, 2025 08:59 am IST
