Amaravati, February 21 An SIT of the Andhra Pradesh police, investigating the alleged ₹3,500 crore liquor scam during the previous YSRCP regime, arrested former APSBCL Managing Director D Vasudeva Reddy on Saturday, officials said.
Vasudeva Reddy, the second accused, was arrested for alleged irregularities in the implementation of the excise policy during the YS Jagan Mohan Reddy-led YSRCP government between 2019 and 2024.
Following his arrest, he was produced before a local court.
"Given the seriousness, involvement, and nature of the offenses, it is imperative to apprehend and arrest him," the remand report stated.
According to police, Reddy, an IRTS officer, was allegedly involved in planning, executing, and receiving illegal pecuniary benefits from the proceeds of the crime.
Observing that complete details need to be obtained from the 47-year-old Vasudeva Reddy, who had served as the Managing Director of Andhra Pradesh State Beverages Corporation Ltd (APSBCL) during the previous YSRCP regime, the Special Investigation Team (SIT) asserted that the crime involves multiple layers of fund transfers.
Among other allegations, it claimed that these transfers originated from APSBCL under Reddy's control to distilleries, liquor suppliers, and then to hawala units and shell companies.
The SIT arrested Reddy under sections of the Indian Penal Code relating to criminal breach of trust by a public servant and cheating, as well as under the Prevention of Corruption Act, 1988.