ED summons YSRCP MP Midhun Reddy in liquor scam probe

The Enforcement Directorate (ED) has summoned YSRCP MP PV Midhun Reddy for questioning in a money-laundering case linked to a Rs 3,500-crore liquor “scam” in Andhra Pradesh that allegedly took place during the previous YSRCP dispensation in the State, officials said on Monday.

The 48-year-old YSRCP Parliamentarian from Rajampet has been asked to depose at the ED’s zonal office here on January 23. His statement will be recorded under the provisions of the Prevention of Money Laundering Act (PMLA), the officials said. He was named as an accused and arrested by the Andhra Pradesh Police special investigation team (SIT), which probed the case, in July 2025. He is out on bail currently.

The agency has also summoned ex-MP Vijayasai Reddy to appear on January 22 for questioning into the working of the liquor policy that was implemented in Andhra Pradesh between 2019 and 2024, they added.

Vijayasai Reddy has been named as an accused in the FIR filed by the Andhra Pradesh SIT. It has been alleged that illicit funds of the trade were passed through him to former chief minister and YSRCP leader YS Jagan Mohan Reddy. The former chief minister has claimed that the case is a result of a “political conspiracy”. The federal probe agency registered a PMLA case in September 2025 to probe the alleged scam, taking cognisance of the SIT complaint. Police have so far filed three charge sheets in the case.

The SIT alleged in the charge sheets that Jagan Mohan Reddy was one of the recipients of kickbacks averaging Rs 50 crore to Rs 60 crore per month. The former chief minister, however, has not been named as an accused in the said prosecution complaints.

Police have also alleged that Jagan Mohan Reddy chaired a meeting in July 2019 related to the new liquor policy under which the outlets selling alcohol would be run by the Andhra Pradesh State Beverages Corporation Limited (APSBCL), a government entity. The charge sheets also allege that the kickbacks were systematically laundered through low-profile individuals, such as office boys or employees.

“During the discussions held in the meeting on July 29, 2019, chaired by the chief minister of Andhra Pradesh, matters relating to the number of shops, hiring of shop premises, shop infrastructure, manpower transportation chargers, etc., have been finalised,” the police have said, quoting from a letter written by the then APSBCL managing director.