ACB Court Clears Chandrababu Naidu in AP Fibernet Case

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As anticipated, the Telugu Desam Party-led coalition government in Andhra Pradesh has begun dropping cases filed against current Chief Minister N. Chandrababu Naidu and others by the previous YSR Congress Party government, dating back to his tenure as opposition leader.

On Wednesday, the ACB Court in Vijayawada formally closed the widely discussed AP Fibernet case, which was initiated during the Y.S. Jagan Mohan Reddy administration against Naidu and 15 others. The closure followed the Crime Investigation Department (CID) submitting an affidavit stating that there were no irregularities in the execution of the project and that Andhra Pradesh State Fibernet Limited (APSFL) did not suffer any financial loss.

Ironically, former APSFL Managing Director M. Madhusudhan Reddy—the official who initially filed the complaint with the CID—told the court that he had no objection to closing the case and supported the CID’s clean chit to Naidu. Both Madhusudhan Reddy and current MD Geetanjali Sharma submitted written statements to the ACB Court, confirming their agreement with the CID findings and asserting that the case lacked merit.

The case originated in 2019, shortly after the YSRCP government came to power. Based on reports in a pro-government newspaper, the CID launched an investigation. On September 11, 2021, then-MD Madhusudhan Reddy filed a complaint alleging undue benefits worth ₹321 crore were extended to Terrasoft Software Ltd. Subsequently, on October 11, 2023—two years after the original FIR—Chandrababu Naidu was added as an accused.

However, the CID investigation failed to establish that the ₹321 crore had been diverted from the ₹3,840 crore released under the BharatNet scheme. Following the formation of the new coalition government after the 2024 general election, the CID submitted a report confirming the absence of any irregularities or financial misappropriation. The report strongly indicates that the case was politically motivated and that Naidu was wrongfully implicated during the previous YSRCP regime.


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