Andhra Pradesh Government Forms SIT to Investigate Alleged APSBCL Corruption
The Andhra Pradesh government has established a Special Investigation Team (SIT) to further probe allegations of irregularities and corruption within the Andhra Pradesh State Beverages Corporation Limited (APSBCL) during the tenure of the YSR Congress Party (YSRCP). This investigation will focus on the period from October 2019 to March 2024.
The SIT will be led by SV Rajasekhar Babu, the NTR Police Commissioner of Vijayawada. The team will also include key officers such as L Subbarayudu, the SP of the Red Sanders Anti-Smuggling Task Force, Additional SPs Kolli Srinivas and R Srihari Babu, DSP P Srinivas, and Inspectors K Sivaji and Ch Naga Srinivas. The Chief Secretary issued the order for the formation of the SIT, which will operate under the supervision and guidance of the Director General of Police (DGP).
Background and Investigation
The investigation into the alleged corruption at APSBCL was prompted by a complaint from the Principal Secretary (Revenue, VIG IV) Department. The complaint raised concerns about irregularities within the APSBCL from 2019 to 2024. In response to the request from the Director General of Police for a detailed inquiry, the Andhra Pradesh government decided to form the SIT to conduct a thorough investigation.
A case was initially registered at the CID Police Station in September 2024 under sections 420 (cheating), 409 (criminal breach of trust), and 120-B (criminal conspiracy) of the Indian Penal Code (IPC). This development came after Chief Minister N. Chandrababu Naidu ordered a CID investigation into the excise policy implemented during the YSRCP rule. Naidu described the policy as one of the largest scams in the state’s history and released a White Paper in the Legislative Assembly, highlighting the financial discrepancies.
Allegations Against YSRCP Government
In the White Paper, Naidu outlined that the retail sales under the YSRCP government amounted to ₹99,413 crore over five years, but digital payments were made for only ₹615 crore of that total. He also accused the YSRCP government of promoting cash transactions that bypassed legal processes, which, according to him, resulted in significant financial losses for the state.
Naidu further alleged that Y. S. Jagan Mohan Reddy, the then Chief Minister, had sanctioned benami distilleries and procured substandard liquor and beers from these sources through APSBCL, leading to a loss of ₹18,860 crore to the state’s exchequer during the period between 2019-2024.
The Ongoing Political Back-and-Forth
The controversy surrounding the APSBCL has led to a significant political rivalry between the YSRCP and TDP. During the tenure of the YSRCP, a case was filed against Chandrababu Naidu over his involvement in the liquor scam during his previous tenure as Chief Minister from 2014-2019. In October 2023, the CID registered a case against Naidu, accusing him of making policy decisions that favored certain distilleries and resulted in lost state revenues.
The FIR against Naidu, filed under the Prevention of Corruption Act, named I.S. Naresh, a bureaucrat, as the first accused, along with former Minister Kollu Ravindra as the second accused, and Chandrababu Naidu as the third. The investigation revealed that certain distilleries were granted Letters of Intent (LOI) contrary to the recommendations of the government-appointed committee, leading to financial benefits for select licensees.
Looking Ahead
As the SIT embarks on its investigation into the allegations of corruption within APSBCL, the political battle between the YSRCP and TDP is set to intensify. Both parties have leveled serious accusations against one another, and the ongoing investigations are expected to have a lasting impact on Andhra Pradesh’s political landscape.
With the formation of the SIT, the government aims to ensure transparency and accountability in the investigation process. The outcome of this inquiry, along with its potential legal consequences, will be closely watched by both political parties and the public in the coming months.
