New Delhi

The Supreme Court on Wednesday allowed interim protection from surrender to continue for three individuals accused in the alleged ₹3,500-crore Andhra Pradesh liquor scam, even as it declined to overturn the cancellation of their default bail by the high court.

A Bench headed by Chief Justice Surya Kant and comprising Justices Joymalya Bagchi and Vipul M Pancholi made it clear that it would not interfere with the Andhra Pradesh High Court’s November 19 order revoking the default bail granted to the accused.

At the same time, the apex court granted temporary relief by extending its earlier protection, giving the accused time to approach the trial court and seek regular bail.

The high court, while cancelling the default bail, had directed the accused to surrender before the trial court on November 26 and apply for regular bail. The Supreme Court had subsequently issued notice to the Andhra Pradesh government on petitions filed by the accused and stayed the surrender requirement until further orders.

The three accused are Balaji Govindappa, a director of Bharati Cements; Pellakuru Krishna Mohan Reddy, who served as Officer on Special Duty to former chief minister Y S Jagan Mohan Reddy; and K Dhanunjaya Reddy, a retired IAS officer who earlier held the post of secretary in the Chief Minister’s Office.

Senior advocates C A Sundaram, Siddharth Dave and Mukul Rohatgi represented the petitioners before the Supreme Court, while senior advocate Siddharth Luthra appeared on behalf of the Andhra Pradesh government.

According to the prosecution, the case involves alleged irregularities in liquor procurement during the 2019–2024 period under the previous YSRCP government. Investigators have alleged a nexus between political and business interests, claiming that established liquor brands were sidelined, new brands were favoured through manipulated orders and kickbacks were systematically collected.

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The trial court will now consider the accused persons’ applications for regular bail in accordance with law.