YSRCP leader Ramchandra Reddy diverted 'liquor scam money' through his construction firm: Minister

Amaravati, August 1 (PTI) Andhra Pradesh IT Minister Nara Lokesh accused YSRCP leader Peddireddy Ramachandra Reddy of diverting illicit liquor scam proceeds through his construction company during the previous regime.

Lokesh alleged that a distillery was employed to use these proceeds to purchase gold worth Rs 400 crore and termed it a key transaction of the alleged scam.

"(Former Minister) Ramachandra Reddy's firm has been involved in diverting the illicit kickbacks and funds collected through the biggest liquor scam that had taken place during the erstwhile YSRCP government," said Lokesh, addressing a press conference on Thursday.

The minister claimed that this gold was purchased only in the last five years and not anytime before or after that duration and added that it clearly shows how the alleged corrupt money was smartly turned into an investment.

According to Lokesh illicit money was routed from the distillery to the construction company, linked to the YSRCP leader and called it criminalisation of politics and financial fraud.

"Is gold a raw material for liquor? Why would they spend Rs 400 crore on it?" Lokesh questioned, terming the transaction suspicious and unjustified.

He challenged Ramachandra Reddy to publicly deny involvement, questioning whether the funds were never routed to him or through his company.

"They are now trying to claim the money belongs solely to the former CM YS Jagan Mohan Reddy and not them, but can Ramachandra Reddy say the money never reached him? Can he deny the transactions through his firm," said Lokesh.

Calling the construction company a corruption front, Lokesh demanded full disclosure on financial links between liquor firms and politically connected companies. There was no immediate reaction from Ramachandra Reddy. PTI MS STH ADB