Kendrapara, Oct 16: A startling case of financial fraud has emerged from Kendrapara district, where a deceased man was allegedly issued a loan six years after his death.

The incident has triggered a police complaint and raised serious questions about corruption within the Siko Primary Cooperative Society under Rajkanika block.

According to reports, Narayana Swain of Siko village passed away on September 20, 2007. Shockingly, in 2013 — six years after his death — a loan of ₹43,162 was sanctioned in his name for rabi crop cultivation. The matter came to light when the cooperative society issued a repayment notice to Swain’s family on September 23, 2025, demanding a total of ₹67,557 including interest.

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Swain’s son, Niranjan Swain, was stunned to learn about the loan and approached the cooperative society for clarification. The society’s secretary reportedly denied any involvement, claiming the loan was not issued during his tenure. With no resolution in sight, Niranjan filed a formal complaint at Rajkanika police station, alleging embezzlement and misuse of his late father’s identity.

The loan, which remained unpaid for over a decade, had accumulated ₹23,295 in interest. The notice demanded repayment by October 6, 2025, further distressing the family. The incident has exposed deep-rooted irregularities in the cooperative system, with suspicions of forged documentation and insider collusion.

Local sources suggest that the fraud may be part of a larger pattern of financial mismanagement within the cooperative society. Authorities are now investigating the role of officials and verifying loan records to determine how a deceased individual’s name was used for financial gain.

Police are expected to question key personnel and audit past transactions to uncover the full extent of the malpractice.