In a major setback to K Dhanunjay Reddy, former IAS officer, and P Krishna Mohan Reddy, former Officer on Special Duty to YSR Congress Party president Y S Jagan Mohan Reddy, the Supreme Court on Friday rejected their petitions seeking anticipatory bail in connection with the alleged liquor scam during the previous regime.
According to reports from New Delhi, the Supreme Court, which had granted them interim protection from arrest earlier this week, dismissed their bail petitions on Friday following a counter-affidavit filed by the Andhra Pradesh government.
A division bench headed by Justice B Pardiwala observed that granting bail at this stage would hinder the ongoing investigation into the liquor scam.
On Thursday, the SIT interrogated both Dhanunjay Reddy (A31) and Krishna Mohan Reddy (A32) from 11 a.m. to 11 p.m., with only a one-hour break.
Officials questioned them about large sums of money reportedly transferred to the personal accounts and businesses of their family members, close associates, and alleged benamis during the 2019–2024 period.
The SIT asked them to submit documentation and transaction records to verify whether the funds were legitimate. Sources said over 150 questions were posed to each, primarily focused on financial dealings during Jagan’s tenure.
However, both reportedly failed to provide satisfactory answers. When asked to furnish banking records immediately, they responded by questioning how such documents could be provided on the spot.
The SIT also presented them with evidence of suspicious transactions linked to accounts of relatives and associated companies, which they denied being connected to. Their mobile phones were seized for examination during the questioning and later returned.
Notices have been issued requiring them to appear again on Friday. With the Supreme Court rejecting their anticipatory bail petitions, the two may face arrest at any time, sources said.
