The officer, N Chandra Babu, is attached to Neredmet Police Station under Cyberabad Police Commissionerate.
Babu has been suspended from service with immediate effect for "involving" himself in a kidnapping case under Kushaiguda Police Station area, an official release said.
"From the evidence available, it is apparent the officer was aware of the entire case but failed to inform any other police officer about the accused whose name came out in later investigation," it said.
Babu will face a departmental inquiry, the release added.
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