Superintendent of Police Awkash Kumar said Manjhi's maternal grandson Vicky Kumar Manjhi was caught with liquor bottles near Kathwara village under Dobhi police station area in Gaya district last evening.
He said Vicky was arrested while travelling in a car with his friend Ravi Kumar. 12 bottles of beer and one bottle of Royal Stag were found in their possession.
30-year-old Vicky Manjhi is son of the former Chief Minister's daughter.
Both the accused have been sent to Gaya central jail as per the new Excise law in force in the state from October 2, the SP said.
Manjhi, chief of Hindustani Awam Morcha, a constituent of BJP in NDA, told reporters in Patna that law should take its course in the episode.
"If my grandson has done anything wrong, law should take its own course. But I smell conspiracy in the entire episode," he said.
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