ED arrests ex-minister in liquor transport scam

The India — Enforcement Directorate (ED) arrested former Andhra Pradesh minister Karumuri Nageswara Rao on August 23, 2026, in Hyderabad in connection with a money-laundering probe into alleged irregularities in liquor transportation tenders of the Andhra Pradesh State Beverages Corporation Limited (APSBCL). The case, registered under the Prevention of Money Laundering Act (PMLA), stems from an India — Andhra Pradesh Criminal Investigation Department FIR based on a vigilance report. The ED alleges that Rao and his son Sunil Kumar received around Rs 15 crore through cash and banking transactions from people linked to the alleged liquor transportation syndicate. The agency claims that Rao used his influence to secure sub-contracts and demanded an 85% share of profits, while Sunil Kumar handled operations through Sree Sudarsana Constructions. The ED has alleged that APSBCL introduced a centralized statewide tender in 2020, awarded to Sigma Supply Chain Solutions Private Limited, which acted as a front, with actual control held by the syndicate. The agency estimates the wrongful loss at Rs 195.3 crore. Rao's anticipatory bail pleas were rejected by the India — Andhra Pradesh High Court and the Supreme Court. His son was arrested in June 2026. The ED has also arrested former APSBCL managing director Donthireddy Vasudeva Reddy and prime accused Kasireddy Raja Sekhar Reddy. India — YSR Congress Party leaders condemned the arrest as political vendetta by the TDP-led coalition government.