The Supreme Court directed the trial court to adjourn the hearing of Chevireddy Bhaskar Reddy’s bail plea till it decides on the state’s plea to cancel the regular bail granted earlier to a co-accused in the case. | Photo credit: KVS Giri
Stressing that bail applications must be heard expeditiously whenever personal liberty is at stake, the Supreme Court on Wednesday said it was “appalled” by the Andhra Pradesh High Court’s October 9 order barring the court from hearing the bail plea of YSR Congress Party (YSRCP) general secretary and former lawmaker-turned- Chandragiri Reddy-infreddy Bhas. fraud.
A special investigation team (SIT) in the state is looking into the case.
The High Court directed the trial court to stay consideration of Mr. Reddy’s bail application till it decides on the State’s plea to cancel the regular bail granted earlier to the co-accused in the case.
Supreme Court JB Pardiwala and KV Viswanathan quashed the order, saying there was “no good reason” for the High Court to obstruct the trial court from proceeding on the bail application. “At the outset we may state that we are appalled by the impugned order passed by the Supreme Court. We do not approve the same,” the Bench observed.
Accordingly, the court directed the trial court to hear Mr. Reddy’s bail application “as soon as possible” and decide it on its merits, unaffected by any observations of the High Court or pending related proceedings. “We order that the application filed by the state to revoke the bail granted to accused No. 4 be heard on its own in accordance with the law, and at the same time the bail application filed here by the petitioner, arising out of the same FIR, be heard first on its own,” the panel said in its resolution.
Constitutional law
The court said it had “time and again” emphasized the need for expeditious hearing of bail applications as delay in such matters violates the fundamental right to personal liberty guaranteed under Article 21 of the Constitution. Pointing out that the impugned order was passed ex parte by the High Court, he observed: “The applicant was not yet before the High Court when the impugned order was passed.”
Mr. Reddy is indicted as the 38th accused in the case. He denied any involvement in the alleged fraud which was said to have taken place during the tenure of the previous government.
The investigation was initially conducted by the Andhra Pradesh Crime Investigation Department (CID) based on a complaint by the Excise Department. Subsequently, the TDP-led NDA government formed a Special Investigation Team, headed by NTR District Commissioner of Police SV Rajashekhar Babu, to conduct a more comprehensive investigation.
According to investigators, the alleged scheme involved a web of kickbacks and diversion of funds amounting to nearly ₹3,500 crore over five years. Those arrested so far include Raj Kesireddy (aka Kesireddy Rajashekar Reddy), an advisor to then Chief Minister YS Jagan Mohan Reddy; K. Dhanunjaya Reddy, former IAS officer and former secretary to Mr. Jagan Mohan Reddy; and Krishna Mohan Reddy, former Officer on Special Duty (OSD).
Published – 16 Oct 2025 0:43 IST
