AP Liquor Scam: Ex Minister Karumuri Arrested By ED

Article by Satya Published on: 9:32 pm, 23 August 2026

There is a major development in the Andhra Pradesh liquor scam case. The Enforcement Directorate has arrested former YSR Congress minister Karumuri Nageswara Rao in Hyderabad.

Karumuri was arrested on Sunday as part of the ED investigation into alleged irregularities in liquor transportation tenders during the previous YSR Congress government.

The ED is looking into the tender process handled by the Andhra Pradesh State Beverages Corporation. Officials suspect that the tender process was manipulated and that money was moved through different contracts.

The alleged scam is linked to around Rs 195 crore in suspected financial irregularities, according to reports. The agency is also looking into possible money laundering and suspected hawala transactions.

Karumuri served as the Civil Supplies Minister in the previous YSR Congress government. His name came under the ED scanner during the investigation into the liquor transportation contracts.

His son Karumuri Sunil Kumar was arrested by the ED earlier in June. Former APSBCL managing director Vasudeva Reddy and businessman Raj Kasireddy have also been arrested in the case.

The ED has been questioning several people and examining financial transactions linked to the alleged scam. Investigators are trying to find out how the money was collected, moved and used.

The case was originally investigated by the Andhra Pradesh CID following a Vigilance Department complaint. The ED later began its money laundering investigation under the Prevention of Money Laundering Act.

Karumuri had earlier approached the courts seeking protection from arrest. His anticipatory bail pleas were rejected, paving the way for the ED action.

The latest arrest is expected to create fresh political heat in Andhra Pradesh. The investigation is still continuing, and the ED is expected to question Karumuri about the alleged tender irregularities and the money trail.