Telugu MP alleges liquor scam in Andhra Pradesh

A politician from the Telugu Desam Party (TDP), Lavu Sri Krishna Devarayalu, has accused the ruling YSR Congress Party (YSRCP) of being involved in a major liquor scam in Andhra Pradesh from 2019 to 2024. He made these claims during a speech in New Delhi while discussing the Finance Bill for 2025-26. Devarayalu stated that the corruption in the liquor industry during this period was worse than the one seen in the Delhi Excise Policy case. He alleged that the YSRCP created a monopoly in liquor production, engaged in financial misconduct, and misused public funds. In his speech, Devarayalu also highlighted India’s economic growth, noting a significant increase in tax collections. However, he expressed worries about unspent government funds and suggested that ₹1 lakh crore should be directed towards research and development for long-term growth. He detailed the supposed liquor scam, indicating corruption in the areas of production, pre-production, and distribution. Devarayalu claimed that the YSRCP misled the public with promises of prohibiting liquor but later established a monopoly instead. He mentioned that major distilleries were taken over illegally and new companies linked to politicians began producing low-quality liquor. According to him, during 2019-2024, numerous new liquor brands appeared, all linked to YSRCP members, which pushed established brands out of the market. He pointed out that 26 new companies generated over ₹20,000 crore through questionable business practices. The TDP leader accused the Andhra Pradesh State Beverages Corporation of favoring YSRCP-associated brands and claimed that only a small percentage of liquor sales were conducted digitally, indicating potential financial irregularities. He also alleged that ₹2,000 crore was improperly sent to Dubai. Devarayalu stated that the scam cost the Andhra Pradesh government around ₹18,860 crore, affecting the financial support for disadvantaged communities. He called on the central government to assist with revenue losses and suggested that liquor should be included in the Goods and Services Tax system to improve accountability. Lastly, he urged for an investigation by central agencies into the allegations.