The Special Investigation Team probing the alleged ₹400 crore liquor transport scam in Andhra Pradesh has intensified questioning of prime accused Kesireddy Rajasekhar Reddy, also known as Raj Kesireddy, in Vijayawada. Investigators are now examining whether irregularities in liquor transport, distribution and contract allocation were linked to a wider financial manipulation network involving shell companies and structured fund transfers.
Contract Allocation and Transport Process Under Scrutiny
According to sources, the SIT is focusing on how alleged violations took place in liquor transport, distribution and contract allocation processes. Preliminary assessments suggest that the irregularities may have caused an estimated loss of around ₹400 crore to the state exchequer.
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Raj Kesireddy is being viewed as a central figure in the case. Allegations suggest that he played an influential role in shaping transport contracts and supply chain operations in a way that benefited select companies and contractors.
Shell Companies and Fund Trail Being Examined
Investigators have found indications that shell companies may have been used to obscure financial transactions linked to the alleged scam. These entities are believed to have made it difficult to trace the ultimate beneficiaries of the funds.
The SIT is examining bank transactions, digital financial records and corporate structures to establish a clear money trail. Officials reportedly questioned the accused on contract allocation procedures, logistics operations and financial settlements to determine where decisions were altered and who authorised the alleged deviations.
Possible Money Laundering Angle Under Probe
Investigators suspect that a parallel operational system may have been created within the liquor supply chain by exploiting gaps in transparency and oversight. This alleged system is believed to have weakened regulatory control and enabled unauthorised financial gains.
The probe is also exploring possible money laundering angles. Financial documents, banking records and corporate filings are being scrutinised to trace fund flows and identify any layering of transactions.
The case has drawn political and administrative attention, with opposition parties demanding a fair and independent investigation. The SIT is continuing to connect different investigative leads, and further findings are expected as interrogation and document analysis progress.
