Reddy carried a reward of Rs 25 lakh and his wife Rs 5 lakh. The couple surrendered before the Director General of Police M Mahender Reddy, news agency IANS reported.
Reddy, 55, said they decided to leave the terrorist group as many social changes have taken place in the country in the last 15 years.
The Maoist, who had been active for over three decades and had been involved in over 100 criminal cases, said he sent a detailed note to the armed group's leadership explaining why he is leaving them.
Though other members of the Maoist central committee asked the couple to make changes in the group by remaining its members, the couple decided against it as the task seemed impossible, police said.
The police chief said the reward amount would be given to the couple for their rehabilitation.
A resident of Warangal district in Telangana, Reddy was also in charge of the Odisha committee of the banned group.
The senior police officer said his surrender is a huge blow to the Maoists. The surrendered Maoist has now asked the 18 other members of the banned group's central committee to leave the armed organisation and join the mainstream, police said.
With inputs from IANS