Major Crackdown in Andhra Pradesh Liquor Scam: ED Attaches Rs 441 Crore Assets
In a significant escalation of the ongoing Andhra Pradesh liquor scam investigation, the Hyderabad wing of the Enforcement Directorate has attached movable and immovable properties valued at a staggering Rs 441 crore. These assets belong to the primary accused individuals, their family members, and various associated entities implicated in the massive financial fraud.
Details of the Attached Properties and Accused Parties
The attached properties include bank accounts, fixed deposits, land parcels, and other immovable assets, all seized under the stringent provisions of the Prevention of Money Laundering Act (PMLA). The action targets assets linked to:
- Kesireddy Rajasekhar Reddy, his family members, and related entities
- Booneti Chanakya and associated entities
- Donthireddy Vasudeva Reddy, his relatives, and connected entities
- Other individuals and organizations involved in the scam
Investigators have meticulously traced a money trail amounting to Rs 1,048 crore, which represents kickbacks that distilleries were allegedly forced to pay. These illicit payments were made through multiple channels including cash transactions, gold transfers, and control over specific distilleries by the syndicate, in addition to financial gains derived from liquor transportation operations.
The Mechanics of the Multi-Crore Liquor Scam
According to the Enforcement Directorate's findings, Rajasekhar Reddy, along with other members of a well-organized liquor syndicate, orchestrated a sophisticated scam within the state's liquor procurement and distribution system. The fraud centered around systematic manipulation of procurement processes at the Andhra Pradesh State Beverages Corporation Limited.
This manipulation resulted in an estimated loss of nearly Rs 3,500 crore to the state exchequer, representing one of the most substantial financial frauds in recent state history. The proceeds of this crime were allegedly laundered through complex financial networks and distributed among syndicate members.
Corporate Entities and Political Influence
The investigation has revealed that entities including Adan Distillery Private Ltd, Leela Distilleries Private Ltd, and UV Distilleries were operated under the effective control of the syndicate. These companies received disproportionately high business volumes through the abuse of political and administrative influence, according to ED officials.
The Enforcement Directorate initiated its comprehensive probe based on a First Information Report (FIR) originally registered by the Andhra Pradesh Criminal Investigation Department. The investigation continues to uncover additional layers of this complex financial fraud, with authorities examining further connections and potential additional assets for attachment.
This development represents a crucial milestone in the ongoing effort to combat corruption and money laundering in the state's liquor industry, sending a strong message about the consequences of financial malfeasance at such a massive scale.
