SIT report of liquor scam against YSRCP is fabricated

Update: 2025-04-27 07:45 IST

Vijayawada: Former Minister Merugu Nagarjuna has strongly criticised TDP-led coalition government for orchestrating a politically motivated liquor scam against YSRCP leaders. He described the alleged scam as a scripted political drama crafted by CM N Chandrababu Naidu to divert public attention from TDP’s past liquor scandals and the coalition’s ongoing irregularities.

In a statement on Saturday, Nagarjuna alleged that the Special Investigation Team (SIT) report is fabricated and lacks credible evidence. He clarified the so-called liquor scam during YSRCP’s tenure (2019–24) is entirely fictitious, relying solely on coerced statements obtained through harassment. He highlighted that former Andhra Pradesh State Beverages Corporation Limited (APSBCL) officials, such as Vasudeva Reddy, and lower-level employees, including Satya Prasad and Anusha, were threatened into providing false testimonies.

‘Despite seeking anticipatory bail from High Court three times, Vasudeva Reddy was coerced into submitting a false statement under CrPC Section 164. After complying, he was promptly relieved from his deputation, exposing the SIT’s manipulative tactics.’ Nagarjuna also noted that distillery directors faced physical assaults to extract statements.

The former Minister underscored that Excise department data confirms YSRCP’s reforms led to a significant decline in liquor sales, reducing distillery profits. Logically, distilleries would not pay bribes to a government that curtailed their earnings, debunking the SIT’s claims of kickbacks. Initially, the SIT alleged the scam caused losses to the exchequer, but upon finding no evidence, it shifted to accusing YSRCP leaders of receiving kickbacks, Nagarjuna pointed out.

Shifting focus to TDP’s own liquor scam during its 2014–19 tenure, Nagarjuna stated that TDP leaders looted State through systemic corruption. He noted that 53.21% of liquor purchases were made from just four favoured distilleries. Chandrababu Naidu signed two secret Government Orders (G.O. 218 and G.O. 468), which eliminated mandatory fees for liquor shops and bars, causing an annual revenue loss of Rs 1,300 crore, totalling over Rs 5,000 crore over five years. Additionally, liquor was sold at 20% above the Maximum Retail Price (MRP), resulting in a Rs 20,000 crore scam.

Nagarjuna reminded that the Comptroller and Auditor General (CAG) raised objections to these irregularities, and a Crime Investigation Department (CID) case was registered against Chandrababu Naidu and other TDP leaders under serious criminal and anti-corruption laws.

He described revival of fake liquor scam narrative as a deliberate attempt by the coalition to cover up its ongoing irregularities. The government is using SITs, media propaganda, and lawless tactics to mask its failures. Nagarjuna also noted that the CID case against Chandrababu Naidu’s liquor scam was quietly shelved after TDP returned to power.

Demanding accountability, Nagarjuna called for the reopening of the CID case against Chandrababu Naidu and suggested it be handed over to Central Bureau of Investigation (CBI) for a fair and independent probe. He stressed that the people of Andhra Pradesh deserve to know the truth about the real liquor scam that took place during TDP’s rule.

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