Follow TNM’s WhatsApp channel for news updates and story links.
The Special Investigation Team (SIT), probing the alleged Rs 3,500 crore liquor scam during the YSRCP regime, has listed in its supplementary charge sheet the details of the role played by then Chief Minister YS Jagan Mohan Reddy. The chargesheet refers to Jagan as the then CM without naming him.
The SIT in its preliminary chargesheet had alleged that crores of rupees in bribes collected from liquor companies in exchange for supply orders from the Andhra Pradesh government eventually went into former CM Jagan’s hands.
Jagan’s alleged role
In the 124-page supplementary charge sheet filed in the Anti-Corruption Bureau (ACB) court in Vijayawada on Monday, August 11, the SIT listed details of the decisions taken by Jagan to modify the excise policy, allegedly to use the liquor business for illegally amassing wealth.
The chargesheet mentions a meeting held in July 2019 chaired by the then Chief Minister concerning the new liquor policy, which brought under its ambit the state-run Andhra Pradesh State Beverages Corporation Ltd (APSBCL).
According to SIT, decisions relating to the number of shops, hiring of shop premises, shop infrastructure, manpower, transportation chargers, etc. were taken during the meeting.
The SIT also accused Jagan of influencing the appointment of D Vasudeva Reddy as the Managing Director of APSBCL.
The charge sheet also named the DGP intelligence PSR Anjaneyulu, saying the IPS officer made several calls to the accused individuals.
It is alleged that low-profile individuals, including office employees, were used to launder kickbacks from liquor companies. Employees, including office boys working in the companies owned by the accused, were allegedly used as couriers to deposit illicit cash into a network of bank accounts linked to the syndicate.
In the supplementary chargesheet, the SIT focused on the role of three accused - K. Dhanunjaya Reddy, Secretary in the Chief Minister’s Office; Krishna Mohan Reddy, Officer on Special Duty (OSD) to the then Chief Minister; and Director of Bharati Cements, Balaji Govindappa. They are listed as accused numbers 31, 32 and 33, respectively.
Investigations with regard to cash transfers by the accused figure in the additional charge sheet. The SIT also highlighted the links of the three accused with the prime accused Kasireddy Rajashekhar Reddy, former IT Adviser to former Chief Minister YS Jagan Mohan Reddy.
The SIT had submitted a preliminary chargesheet on July 19. It had named Jagan as one of the recipients of the kickbacks.
Though Jagan’s name figures in the 305-page chargesheet, he was not named as an accused in the case.
The SIT had stated that the accused formed a syndicate to collect commissions or kickbacks from the distillery companies. They allegedly collected about Rs 3,500 crore from 2019 to 2024.
According to the SIT, the syndicate members gave purchase orders to the companies which agreed to their demand to pay commissions, suppressed the regular and popular brands, promoted new liquor brands, coerced the company managements to pay commissions, opened government retail outlets, and maintained a manual system as per their convenience to collect huge amounts.
The SIT alleged that an average of Rs 50 to 60 crore was collected every month from distilleries and routed through a network of aides and shell companies.
According to the charge sheet, the liquor policy was designed by the YSRCP government to exert full control over alcohol distribution, allowing accused officials to extract hefty commissions. The majority portion of such kickbacks was received in cash, gold or bullion.
The preliminary chargesheet had allegations against nine companies and seven individuals.
A total of 19 companies and 29 individuals have so far been named as accused.
The SIT has so far arrested 12 accused, including YSRCP MP Peddireddy Midhun Reddy. The arrested accused are Raj Kessireddy (A1), Booneti Chanakya (A8), Paila Dileep (A30), Sajjala Sridhar Reddy (A6), K Dhanunjay Reddy (A31), P Krishnamohan Reddy (A32), Govindappa Balaji (A33), Venkatesh Naidu (A34), Chevireddy Bhaskar Reddy (A38), Peddireddy Midhun Reddy (A4), Balaji Kumar Yadav (A35) and E Naveen Krishna.