Archive · 24 Aug 2026
ED Alleges Ex-Minister and Son Used Liquor Scam Funds
The Enforcement Directorate is investigating an alleged liquor-transport scam in Andhra Pradesh.
The agency says the scam involved about Rs 195.33 crore.
It alleges that former minister K Venkata Nageswara Rao and his son, Sunil Kumar, received money from the scheme.
The ED says they spent some of it on expensive cars, watches, property advances and family expenses.
It also says some money was used for political funding.
Investigators allege that liquor-transport contracts were arranged to benefit selected companies.
Rao was arrested on August 23 and sent to judicial custody.
These are allegations by the ED, and the report says there was no immediate response from Rao, his son or the YSRCP.
The Enforcement Directorate alleged that former Andhra Pradesh minister K Venkata Nageswara Rao and his son used alleged scam proceeds for luxury vehicles, watches, property advances and political funding.
The alleged Rs 195.33 crore transportation scam involved the Andhra Pradesh State Beverages Corporation Limited.
The ED said Rao and his son used political influence to control liquor-transport sub-contracts and gain illicit financial benefits.
Investigators alleged that tender conditions favored Sigma Supply Chain Solutions Private Limited and Prasaad Transports, which acted as front entities.
Rao was arrested on August 23 and sent to 15 days’ judicial custody; his son and other accused were also arrested in the case.
- Who
- The Enforcement Directorate accused former Andhra Pradesh minister K Venkata Nageswara Rao, his son Karumuri Sunil Kumar and other alleged participants.
- What
- The ED alleged that proceeds from a liquor-transportation scam were used for luxury assets, political funding and personal expenses.
- When
- The report was dated August 24; Rao was arrested on August 23, while his son was arrested in June.
- Where
- The alleged scheme involved the Andhra Pradesh State Beverages Corporation Limited; Rao was sent to judicial custody in Hyderabad.
- Why
- The ED alleges that tender manipulation and control over sub-contracts generated illicit financial gains.
- Agency
- Enforcement Directorate (ED)
- Alleged scam value
- Rs 195.33 crore
- Former minister arrested
- K Venkata Nageswara Rao was arrested on August 23
- Son’s arrest
- Karumuri Sunil Kumar was arrested in June
- Alleged spending
- High-end vehicles, luxury watches, property advances, political funding and personal or family expenses
- Companies named
- Sigma Supply Chain Solutions Private Limited and Prasaad Transports
- Custody
- Rao was sent to 15 days’ judicial custody by a special court in Hyderabad