Former YSRCP legislator Chevireddy Bhaskar Reddy arrested at Bengaluru airport in multi-crore liquor scam

Bengaluru: Police arrested former YSRCP legislator Chevireddy Bhaskar Reddy late Tuesday night at Kempegowda International Airport in Bengaluru when he was trying to board a flight to Colombo.

Chevireddy will be produced before the ACB court in Vijayawada today by the SIT.

He is a key accused in the alleged multi-crore liquor scam case, which took place during the previous government’s tenure. He has been listed as accused No. 38 (A-38) in the case. The SIT, which has questioned over 200 individuals as part of its ongoing investigation, has now arrested nine people in total.

What is liquor scam about?

The YSRCP government, after coming to power in 2019, introduced a new liquor policy, claiming it was part of a phased prohibition plan. Under this policy, the State took over nearly 3,500 liquor stores through the Andhra Pradesh State Beverages Corporation Limited (APSBCL). Liquor shop operating hours were reduced, prices increased, and many well-known brands were replaced with new, lesser-known labels—dubbed ‘Jagan brands’—such as Boom, President Medal, Napoleon, and Block Bister.

The APSBCL also controversially switched to cash transactions at all outlets, citing operational challenges with digital payments. Critics claim this move enabled large-scale financial misconduct.

Earlier arrests and interrogations

On April 21, SIT arrested Kasireddy Rajashekar Reddy, the alleged mastermind and former IT adviser to Jagan, at Hyderabad’s Rajiv Gandhi International Airport. Along with him, his assistant Dilip Kumar and another accused, Chanaky, were also taken into custody and remanded to judicial custody.

Kasireddy allegedly devised the excise policy with Jagan’s approval to raise funds for the government and party. Though he did not sign a confessional statement, his remand report indicated he orchestrated the collection of nearly Rs 60 crore per month in kickbacks from distillers by promoting select liquor brands while suppressing popular ones. The funds were reportedly funnelled through intermediaries.

SIT has also questioned several other political figures in connection with the case, including former MP V Vijaya Sai Reddy and Rajampet MP PV Midhun Reddy.