ED arrests ex-Andhra minister's son in liquor transport case
Jun 18, 2026
New Delhi [India], June 18 : The Enforcement Directorate (ED) on Thursday arrested Karumuri Sunil Kumar, son of former Andhra Pradesh minister Karumuri Venkata Nageswara Rao, in connection with the alleged liquor transport irregularities case being investigated under the Prevention of Money Laundering Act, officials said
The arrest marks the latest escalation in the central agency's widening probe into suspected irregularities in the awarding and execution of liquor transportation contracts during the tenure of the YSR Congress Party government in Andhra Pradesh.
The moves comes seven days after the ED's Hyderabad office conducted search operation on June 11 under the provisions of the PMLA at five premises in Hyderabad related to the case covering premises of Karumuri Sunil Kumar; his father; liquor scam kingpin Kessireddy Raja Shekhar Reddy, former IT advisor to the Andhra Pradesh government; Dontireddy Vasudeva Reddy, former Managing Director of the Andhra Pradesh State Beverages Corporation Limited (APSBCL); Vijaya Narasimha Reddy; and Vallu Sandeep.
In the operation, the agency also seized a luxury car, costly watches valued at Rs 94.5 lakh and unaccounted cash. Further incriminating documents, including suspicious joint venture agreements, unaccounted cash transactions, and property documents, were recovered and seized.
On the same day, ED also arrested Kessireddy Raja Shekhar Reddy and Dontireddy Vasudeva Reddy in the case initiated on the basis of an FIR registered by Andhra Pradesh CID based on a complaint of Additional Secretary to the government of Andhra Pradesh (Vigilance), for loss to the Government exchequer to the tune of Rs 195.33 crore.
ED investigation revealed that the liquor transport tender conditions of Andhra Pradesh State Beverages Corporation Ltd (APSBCL), were deliberately modified and tailored in favour of selected entities, namely Sigma Supply Chain Solutions Pvt Ltd (SSCSPL) and subsequently Prasaad Transports, which acted merely as front entities while the actual operational and financial control remained with persons associated with Kessireddy Raja Shekhar Reddy, Dontireddy Vasudeva Reddy and their associates.
ED investigation further revealed that the liquor cartel devised a mechanism to generate unlawful gains through the transportation of liquor from depots to retail outlets in Andhra Pradesh.
Kessireddy Raja Shekhar Reddy, Tukekula Eswar Kiran Kumar Reddy and Anjani Kumar, in active connivance with Dontireddy Vasudeva Reddy, abused their influence to secure a liquor transportation tender at rates substantially higher than the prevailing rates, thereby generating proceeds of crime.
