Chief Minister N Chandrababu Naidu Photo | Express
Andhra Pradesh

Probe into liquor ‘scam’ in YSRC regime

The Chief Minister assured the House that a detailed probe by CB-CID will be ordered, and the Enforcement Directorate will be entrusted with the task if needed.

Express News Service

VIJAYAWADA: The State government has decided to order a probe into the alleged large scale irregularities that took place in the sale of liquor in Andhra Pradesh during the previous YSRC regime from 2019 to 2024.

Chief Minister N Chandrababu Naidu announced it in the State Legislative Assembly after presenting a white paper on the Excise Policy and the discussion that followed, when members of the House demanded a detailed probe into the liquor sale fraud, which they said could run into several thousands of crores.

The Chief Minister assured the House that a detailed probe by CB-CID will be ordered, and the Enforcement Directorate will be entrusted with the task if needed as the total loss due to the previous government’s excise policy was pegged at Rs 18,860.51 crore.

At length he explained how the previous dispensation had resorted to intimidation tactics to take over the liquor sale, monopolise production and marketing of inferior quality liquor, posing a severe risk to public health.

“Strong-arm tactics were adopted to take over the distilleries by the previous regime, and MNC brands were chased out of the State,” he said.

Naidu said there were allegations of extortion at every level. It was reported that Rs 200 per case of liquor and Rs 50 per case of beer sold were extorted, and the estimated illegal collection in this manner was Rs 3,113 crore.

He said what is more worrying was the fact that digital payments were replaced by monetary transactions, contrary to the practice adopted across the country.

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‘Liquor scam in AP is more severe than Delhi scandal’

“The total sale in retail shops between 2019 and 2024 was Rs 99,413.5 crore. Up to 2023, there were no digital payments. Only Rs 615.44 crore (0.62%) digital payments were recorded in 2023-24. There is no account as to how much cash went into the pockets of the ruling party,” he explained.

Naidu said the most astonishing thing was that the previous government borrowed money from the future sale of liquor. APSBCL was permitted to issue Non-Convertible Debentures, and sacrificing future revenues, all other departments, including power utilities were forced to invest in them, he pointed out.

“We have to make those responsible for this scam accountable, and they have to be penalised,” stressed Deputy Chief Minister Pawan Kalyan.

“Liquor scam in Andhra Pradesh is more severe than Delhi liquor scam,” said TDP MLA Somireddy Chandramohan Reddy, while BJP legislator P Vishnu Kumar Raju said the loss to the exchequer could be more than Rs 30,000 crore.

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