MP Midhun Reddy Sent to Judicial Remand till August 1

Vijayawada: YSR Congress Rajampet MP, PV Midhun Reddy, was sent to judicial remand till August 1 in the multi-crore liquor scam case by the ACB Special Court in Vijayawada on Sunday.

Following this, the SIT personnel moved in to shift Midhun Reddy, who was named accused four, to the Rajamahendravaram central prison amid tight security. Earlier, the police conducted medical examinations on the MP at the GGH Vijayawada and produced him in the ACB special court.

The police had so far arrested 12 persons in the Rs 3,500-crore liquor scam, which was allegedly committed during 2019-2024.

Significantly, former chief minister YS Jagan Reddy's name appeared in the chargesheet as one of the recipients of monthly kickbacks. He he has not been named as an accused.

The police, in the alleged Rs 3,500 crore liquor scam, have filed a 305-page chargesheet, which names Jagan as one of the recipients of the monthly kickbacks reportedly amounting to Rs 50-60 crore during the 2019-24 YSR Congress rule.

As per the remand report filed by the SIT, Midhun Reddy has been named as fourth accused (A4) in the case related to irregularities in the state’s liquor policy between 2019 and 2024, resulting in an alleged misappropriation of approximately Rs 3,500 crore.

The report states that Midhun Reddy played a role in orchestrating policy changes and coordinating with co-accused to secure kickbacks from distilleries and suppliers. He allegedly influenced public servant Satya Prasad (A3) by promising a promotion and facilitating his appointment as special officer to implement the policy changes.

The SIT stated that Midhun Reddy influenced officials of the state beverages corporation, participated in meetings, and gave instructions that caused financial losses to the state.

Kickbacks were allegedly routed through entities including SPY Agro, Sanhoc Labs and Dcart Logistics. A payment of Rs 5 crore was made to PLR Projects Pvt. Ltd, a company linked to his family.

The report also mentions his financial interests in Shiva Shakthi Dairy Pvt. Ltd., where his mother and sister are directors.

The remand report outlines that shell companies were used to move the funds and that several witnesses, identified as LWs108, 113 and 121, confirmed his involvement. The funds were allegedly used during the 2024 elections across constituencies in Andhra Pradesh.

Midhun Reddy has information about the collection and distribution of cash through commissions and methods of transportation. The offences are punishable by over ten years of imprisonment.

The SIT has sought custodial interrogation of the accused to gather details regarding fund movements, the roles of other individuals involved, and documentation related to the transactions. It added that he had earlier failed to cooperate with the investigation and that a lookout circular had been issued.

On Jagan Reddy’s naming as a recipient, the chargesheet stated that the collected amounts were eventually handed over to Kesireddy Rajasekhar Reddy (A-1), who would then pass the money to Vijay Sai Reddy (A-5), Midhun Reddy (A-4), Balaji (A-33), who would transfer it to Jagan. It also stated that on average, Rs 50-60 crore was collected every month during the YSRC rule.