AP liquor policy scam key accused Avinash Reddy gets bail; here's what SC said

New Delhi: The Supreme Court on Friday granted regular bail to Muppidi Avinash Reddy, a key accused in the multi-crore Andhra Pradesh liquor policy scam.

During the hearing, the court cited ‘peculiar circumstances’ while making it clear that the order should not be treated as a precedent.

11 accused granted bail so far

A three-judge bench, comprising Chief Justice Surya Kant and Justices Joymalya Bagchi and Vipul M Pancholi, observed that as many as 11 accused in the case have already been granted bail.

The court took note of this parity while considering Reddy’s plea.

Absconding, return and custodial interrogation

The bench also recorded that Reddy had earlier travelled to Sri Lanka during the investigation but later returned to India, surrendered before authorities on February 26 and underwent custodial interrogation.

His counsel argued that he complied with legal procedures upon return and cooperated with the investigation.

AP govt opposes bail, cites gravity of scam

Opposing the bail plea, the AP State government highlighted the seriousness of the alleged Rs 730-crore scam, which reportedly involved large-scale irregularities and a structured kickback network operating between 2019 and 2024.

The state’s counsel told the court that Reddy had absconded for nearly a year and fled the country. It also alleged his involvement in generating illicit funds routed through shell companies.

Bail granted with conditions

While granting relief, the Supreme Court clarified that the decision was based on the specific circumstances of the case and should not be relied upon as a legal precedent in similar matters.

The court directed that Reddy be released on bail, subject to conditions to be imposed by the trial court.

What is AP liquor policy scam?

The Andhra Pradesh liquor policy scam pertains to alleged irregularities in the formulation and implementation of excise policies, with investigators claiming the existence of a kickback mechanism that led to significant losses to the state exchequer.