ED Questions Four in Andhra Liquor-Laundering Probe After Rs 441.63-Crore Asset Attachment

Overview

• Retired IAS officer K Dhanunjay Reddy, P Krishna Mohan Reddy, Cherukuru Venkatesh Naidu and Booneti Chanakya appeared before ED officials in Vijayawada for questioning on Monday.
• The latest interrogations follow the ED’s attachment of properties worth Rs 441.63 crore under PMLA, including assets linked to Kessireddy Rajasekhara Reddy, Booneti Chanakya and former APSBCL MD D Vasudeva Reddy.
• According to the ED, kickbacks totaling Rs 1,048.45 crore were extracted from distilleries and parked as cash or gold, with cash stockpiled at multiple Hyderabad locations and moved by designated handlers.
• The agency is examining allegations that kickbacks were funneled through shell companies and has sought additional documents from the accused, including bank statements, PAN details and family asset information.
• The probe stems from a CID FIR into alleged irregularities in the state’s liquor policy after 2019, when an automated tracking system was replaced with manual Orders for Supply that the ED says enabled preferential allocations.