Excise Office Scandal: Two Arrested in Odisha for Rs 3.67 Crore Fraud

Two individuals were arrested in Odisha for allegedly embezzling Rs 3.67 crore from a government fund in an excise office. They manipulated official records to generate unauthorized sanctions and transferred funds to their accounts, causing significant loss to the state exchequer.

Authorities have apprehended two individuals linked to the alleged embezzlement of Rs 3.67 crore from a government fund in an excise office located in Sambalpur, Odisha.

The arrests stem from a case initiated on March 9, following a complaint by the deputy commissioner of excise upon detection of financial irregularities by audit authorities. According to Sambalpur SP Mukesh Kumar Bhamoo, those arrested include a suspended junior assistant and a retired department employee.

Investigations revealed manipulation of official records and unauthorized sanction orders through the Integrated Financial Management System portal, allowing excess withdrawal of pension and salary arrears from November 2022 to October 2025. The police have recovered significant sums in cash and frozen bank assets as investigations continue to identify more suspects, Bhamoo stated.

(With inputs from agencies.)