Andhra ex-CM Jagan got kickbacks in Rs 3,500-crore liquor ‘scam’: CID probe
Amaravati, July 21 — A major scandal has emerged in Andhra Pradesh as the Crime Investigation Department (CID) accused former Chief Minister Y.S. Jagan Mohan Reddy of receiving kickbacks in a ₹3,500 crore liquor deal. The CID uncovered a vast network of shell companies, fake transactions, and money laundering activities linked to the scam.
CID Exposes Complex Network of Corruption
CID officials revealed that the alleged scam took place during Jagan’s tenure from 2019 to 2024. They claimed liquor companies paid bribes in exchange for government favours. These bribes, according to investigators, moved through multiple layers before reaching political figures.
CID Joint Director S.V. Rajasekhar said, “We followed the money trail. It clearly shows funds moving from liquor firms to politically connected entities, including those close to the former CM.”
The CID submitted a detailed report to the court. It explained how liquor licenses and policy changes allegedly benefited select contractors in return for illegal payments.
Fake Companies and Illicit Transactions
CID teams found more than 20 fake firms that had no real business activity. These shell companies received large payments from liquor distributors. Most of these firms had links to associates of political leaders.
“We found no staff or office locations for many of these entities,” said a CID officer. “Yet, they moved crores of rupees through banks and offshore accounts.”
Investigators believe the money then flowed into real estate and foreign investments through hawala routes. Authorities suspect the scam was carefully designed to avoid detection, using multiple intermediaries and fake paperwork.
Political Battle Heats Up
Opposition leader Nara Lokesh from the Telugu Desam Party (TDP) demanded the arrest of those involved. “This is daylight robbery. Andhra Pradesh’s public money was looted. The law must act swiftly,” he said during a press conference.
On the other hand, the YSR Congress Party dismissed the allegations. A party spokesperson stated, “These are baseless charges aimed at political revenge. Our leader has done nothing wrong.”
However, many believe the issue will dominate the political narrative for months to come.
ED Launches Parallel Investigation
The Enforcement Directorate (ED) has started gathering evidence from the CID. Officials from the ED are preparing to examine if the scam violated the Prevention of Money Laundering Act (PMLA).
“Initial findings suggest links to foreign accounts and FEMA violations,” said a source in the ED. “We are verifying documents and may issue summons shortly.”
In addition, the ED plans to freeze properties and bank accounts connected to the fake companies once formal procedures begin.
Public Reaction and Social Media Buzz
Angry citizens took to social media, using hashtags like #LiquorScam and #JaganKickbacks. Many demanded a fair and transparent probe. Civil society groups also urged the court to monitor the case independently.
Some former officials, now retired, said they were under pressure to clear questionable policies during the previous regime. These voices added credibility to the claims made by the CID.
Legal Implications Could Be Severe
Legal experts believe the charges—bribery, criminal conspiracy, and money laundering—could lead to long prison terms. If proven, the case may become one of the largest political scams in Andhra Pradesh’s history.
Lawyer R. Maheshwar Rao commented, “This is not a minor case. If the court finds even part of it true, we could see top leaders behind bars.”
What’s Next?
The CID is preparing to file additional charges. Meanwhile, the ED is likely to summon individuals for questioning within days. Both agencies appear determined to complete the probe quickly.
Political observers suggest this case could shape the future of Andhra politics. Voters may demand greater transparency from all parties in upcoming elections.
Conclusion
The CID’s liquor scam report has sent shockwaves across Andhra Pradesh. As the ED and other agencies intensify their probes, the heat is rising on Jagan Mohan Reddy and his former administration. The next few weeks will be crucial in determining whether these allegations lead to convictions or fade amid political defenses.
