In a dramatic turnaround, the All-India Congress Committee has decided to observe YSR’s first death anniversary and extend financial help of Rs1 lakh to the kin of those who died of shock in the wake of the former chief minister’s sudden demise in a chopper crash on September 2nd last year.

Political analysts see this as a move to keep the adamant rebel Kadapa MP YS Jagan Mohan Reddy in the congress party and to apply breaks to his Odarpu Yatra in Prakasam district beginning September 3.

Instead of taking action against Jagan for defying its directive not to go ahead with the yatra, the party appears to have decided to marginalize him. In fact, the Congress Disciplinary Committee was to meet this evening to discuss the Jagan issue but the meeting was cancelled at the last-minute and soon came the big announcement from Union Law Minister and party’s AP affairs in-charge Veerappa Moily.

“It is a victory for YSR’s son as he has forced the party to look at the issue from his point of view,” said a source from the AP congress camp.

Insiders in congress camp say that Jagan may react positively to the latest development which was some sort of compromise. Jagan is expected to return from Israel early Tuesday.