YSRCP MP Midhun Reddy Sent to Judicial Custody Till August 1 in ₹3,500 Crore Liquor Scam

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In a significant development in the ongoing Andhra Pradesh liquor policy scam probe, YSR Congress Party (YSRCP) MP P.V. Midhun Reddy has been sent to judicial custody until August 1. The Anti-Corruption Bureau (ACB) Special Court in Vijayawada ordered the remand on Sunday after the Andhra Pradesh Special Investigation Team (SIT) produced Reddy following his arrest.

Reddy, who represents the Rajampet constituency in the Lok Sabha and serves as the floor leader of the YSRCP, was arrested on Saturday. He was taken into custody after a medical check-up at Vijayawada Government Hospital. Authorities cited the risk of evidence tampering, witness influence, and flight risk as reasons for his detention.

The court was presented with a remand report alleging Reddy’s central role in manipulating the state’s liquor policy during the 2019–2024 period. He has been named as Accused No. 4 in the ₹3,500 crore scam. According to investigators, the MP directed policy changes to benefit certain distilleries and liquor suppliers, allegedly receiving kickbacks through entities linked to his family and associates.

Justice Kathpalia, while denying bail, noted that the magnitude of the scam and Reddy’s position of influence posed a serious challenge to the investigation. “The case reflects a deep-rooted misuse of power, and custodial interrogation is necessary,” the judge observed.

A Look Out Circular had previously been issued to prevent Reddy from leaving the country after his anticipatory bail plea was rejected by the Andhra Pradesh High Court.

The ruling YSRCP has condemned the arrest. Party chief and former Chief Minister Y.S. Jagan Mohan Reddy termed the action a “politically motivated conspiracy” led by the new state administration. He alleged the case is based on coerced statements and intended to weaken the opposition.

As part of the investigation, the SIT has arrested over a dozen individuals, including bureaucrats and liquor traders. The Enforcement Directorate is also pursuing a parallel probe into the money laundering angle.

Reddy has been moved to Rajahmundry Central Jail and will remain in custody until August 1. Further investigation is expected to focus on the financial trail and potential involvement of other senior officials.