Hyderabad: The Enforcement Directorate (ED) on Wednesday conducted searches at seven locations across Andhra Pradesh and Telangana as part of its money laundering investigation into alleged irregularities in the evaluation of Andhra Pradesh Public Service Commission (APPSC) Group-I Mains answer scripts.
The searches included premises linked to retired IPS officer and former APPSC secretary P.S.R. Anjaneyulu, who is among the accused in the underlying case, as well as private firms and individuals allegedly connected with the evaluation process.
The ED’s action is part of an investigation under the Prevention of Money Laundering Act (PMLA), initiated after Andhra Pradesh Police registered a case in April 2025 and a Special Investigation Team (SIT) examined the alleged irregularities.
ED Searches Seven Locations in Andhra Pradesh and Telangana
The ED’s Hyderabad zonal office carried out simultaneous searches at six locations in Hyderabad and its surrounding areas and one location in Guntur district.
The premises covered during the operation included:
- P.S.R. Anjaneyulu: Residence of the retired IPS officer in Kasimbowli, Ranga Reddy district.
- CamSign Media: Office of the private firm in Panchavati Colony, Banjara Hills.
- P. Madhusudhana Rao: Residence of the managing director of CamSign Media in Panjagutta.
- TrueGrader Services: Premises of the firm in Defence Colony, Secunderabad.
- Akella Peri Srinivasa Rao: Residence of the managing director of TrueGrader Services in Neredmet.
- Mahamkali Raghuram: Premises in Venkatapuram, Alwal.
- Haailand Resort: The resort at Chinakakani in Mangalagiri mandal, Guntur district, where the answer-script evaluation was allegedly conducted.
The ED is examining financial transactions, payments to private entities and the utilisation of funds associated with the evaluation contracts.
What Is the APPSC Group-I Evaluation Case?
The case relates to the evaluation of answer scripts for the APPSC Group-I Mains examination, conducted in December 2020.
The commission had issued a recruitment notification in 2018 to fill 169 Group-I posts. The subsequent evaluation process came under scrutiny over allegations of procedural violations and financial irregularities.
According to the SIT investigation, the evaluation involved digital and manual processes, with the answer scripts reportedly kept at Haailand Resort near Mangalagiri for around 84 days.
The SIT identified several alleged irregularities, including:
- Unqualified evaluators: As many as 66 individuals allegedly lacking the required qualifications were engaged in the evaluation process.
- Financial transactions: Payments of approximately ₹1.14 crore to CamSign Media and ₹1.38 crore to firms involved in digital evaluation were examined.
- Barcode discrepancies: Investigators reportedly identified 287 instances of discrepancies involving answer-script barcodes.
- Correction fluid: The SIT found instances of correction fluid being used on 169 answer scripts.
- Witness examination: Investigators questioned 173 witnesses and examined forensic evidence during the probe.
These findings formed part of the material examined in the criminal investigation. The allegations are yet to be established through judicial proceedings.
How Did the Case Reach the Enforcement Directorate?
The underlying criminal case was registered at Suryaraopet police station in Vijayawada in April 2025 following the investigation into the alleged evaluation irregularities.
Anjaneyulu was named as the first accused (A1), while P. Madhusudhana Rao, associated with CamSign Media, was named as the second accused (A2). Both were subsequently arrested in connection with the case.
In October 2026, the ED registered an Enforcement Case Information Report (ECIR) under the PMLA to investigate suspected money laundering and financial transactions linked to the alleged irregularities.
The central agency is now examining the award of evaluation contracts, payments made to private firms and the movement and utilisation of funds.
Who Is P.S.R. Anjaneyulu?
P.S.R. Anjaneyulu is a 1992-batch Indian Police Service officer who served in Andhra Pradesh Police and later held the position of secretary of the Andhra Pradesh Public Service Commission.
He also served as the head of police intelligence, holding the rank of Director General of Police, during the tenure of former Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy.
His tenure as APPSC secretary brought him into the investigation concerning the Group-I Mains answer-script evaluation process. He was subsequently named as the first accused in the case registered by Andhra Pradesh Police.
Anjaneyulu has challenged the allegations concerning the evaluation process. His defence has maintained that the decision to conduct manual evaluation was taken collectively and in compliance with directions issued by the High Court. It has also argued that the resort was selected for logistical and security reasons.
The ED searches mark a further stage in the investigation, which is now examining the financial trail associated with the alleged irregularities.
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