ON 16 th May 2025 YSRCP MP Maddila Gurumoorthy has released press statement on false liquor scam, as per the statement
The YSR Congress Party has strongly condemned the false liquor scam allegations being propagated by the Chandrababu-led coalition government, calling them nothing more than a politically motivated vendetta. By misusing the so-called “Red Book Constitution,” the current regime is targeting former officials and political opponents through fabricated cases, forced confessions, and manipulated investigations. The objective is not to uncover any real wrongdoing but to damage the image of YSRCP and its leaders by manufacturing a false narrative with the help of yellow media. These actions are a clear attempt to settle political scores while diverting attention from the actual liquor scam that took place during Chandrababu Naidu’s earlier tenure as Chief Minister.
*Liquor Scam During Chandrababu’s Previous Regime: Facts Ignored*
The actual liquor scam occurred between 2014 and 2019 under Chandrababu Naidu’s administration. A CID FIR filed during that period named Chandrababu as Accused No. 3, his then Excise Minister Kollu Ravindra as Accused No. 2, and the Excise Commissioner as Accused No. 1. The Anti-Corruption Bureau (ACB) court even allowed a full investigation. However, since Chandrababu returned to power, no progress has been made in this case.
The TDP government modified the 2012 Excise Policy to benefit private distilleries such as SPY Agro, Visakha Distillery, and PMK Distillery—all linked to TDP leaders. These changes enabled the companies to evade taxes, causing an annual revenue loss of Rs. 1,300 crore to the state. CID documents reveal that an Excise Commissioner had initially proposed a tenfold increase in the privilege fee, but the recommendation was ignored. On the same day, a new proposal recommending the abolition of the fee was sent and marked “Copy to PS to CM.” Subsequently, G.O. 218 and G.O. 468 were issued to abolish privilege fees for distilleries and bars. These were signed by Excise Minister Kollu Ravindra and digitally approved by then Chief Minister Chandrababu Naidu. A backdated and fabricated petition from the Bar Owners’ Association was used to justify the decision—an act the CID identified as a clear cover-up.
Despite having this documentary evidence, the case remains buried under political influence, while the current government is busy framing a new and baseless case against YSRCP-era officials. For example, the former MD of the Beverages Corporation, Vasudeva Reddy, who was granted anticipatory bail in four cases by the High Court, was coerced into giving a statement just before he was relieved from central service. Low-ranking employees like Satya Prasad and a DTP clerk were also detained and forced to give statements under duress. The goal is not investigation, but coercion—to extract false testimonies targeting those close to Y.S. Jagan Mohan Reddy.
*Misrepresentation, Intimidation, and False Narratives*
The government is also deliberately misrepresenting legitimate business transactions involving SPY Distilleries and private agencies, even though such transactions were carried out through banking channels like cheque payments. SPY Distilleries, notably, was licensed and empanelled during Chandrababu’s tenure. How can routine procurement from empanelled suppliers now be labeled a scam?
No liquor procurement files from the Excise Department reached the Chief Minister’s Office during YSRCP’s tenure. Moreover, most of the distillery licenses active today were issued during Chandrababu’s time; the YSRCP government issued none. Yet, Chandrababu continues to stage a campaign of misinformation to deflect from these facts.
He had promised cheaper, quality liquor before the 2024 elections, including brands at Rs. 99. But once in power, he increased liquor prices instead of reducing them. Liquor shop tenders were manipulated, and commissions of up to 30% were extorted from shop owners. Margin money was increased from 9% to 14% post-tender, and belt shops mushroomed across villages—even near temples and schools. Liquor is now sold at inflated prices through unofficial networks, with WhatsApp-based delivery systems turning households into hubs for liquor consumption.
Nearly 80% of current liquor sales consist of cheap liquor brands aggressively introduced by Chandrababu’s government, such as Royal Strong, Green Valley, Gold Premium, and Blue Stream. While the government now alleges that manual ordering bypassed digital systems, records show that even during the digital process, 54% of orders were routed to just four companies. The CID had earlier reported that 69% of brand sales were directed to 4–5 favored distilleries under Chandrababu’s rule. Isn’t this the real scam?
There is no concrete evidence in the current case—only forced statements, fabricated charges, and a politically motivated campaign. The loss of Rs. 1,300 crore per year due to the abolition of privilege fees by Chandrababu’s cabinet is a matter of documented fact. Rather than act on that, the current regime is focused on framing new narratives to malign political opponents, clearly exposing the real intent behind this so-called liquor scam investigation.
