Reddy, who has acted in films like 'Panchakshari' and 'Kittu Unnadu Jagratha', and his wife were living separately, following some marital dispute, they said.
The actor's wife lodged a complaint at the Madhapur police station on January 25, accusing her 28-year-old husband of committing theft of household articles and gold ornaments, besides damaging CCTV cameras and furniture at her house here, Inspector R Kalinga Rao said.
"Some family dispute was going on between the couple and they were living separately here. Recently, in view of the Makar Sankranti festival, she went to her mother's house and after returning home she found the door lock broken," he said.
Based on the complaint, a case under the Indian Penal Code (IPC) sections 380 (theft in dwelling house) and 448 (house trespass) was registered against Reddy, the official said.
During the investigation, police recovered the missing valuables from Reddy's possession and placed him under arrest, Rao said.
Reddy's wife alleged that in the past he had "harassed" and "tortured" her for dowry.
She said they got married in November 2015, but within a few days, he started "harassing" her.
The actor repeatedly asked her to provide details of her properties and forced her to transfer them in his name, the 25-year-old complainant alleged.
"Subsequently, he forced me to arrive at a compromise and got the case withdrawn," she claimed.
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