Fraud Case / Three Odisha Officials Arrested in ₹9.24 Crore Fraud
Key Points
Odisha Vigilance arrests three officials in a ₹9.24 crore fraud case at Bhubaneswar R&B Division‑1, exposing fake bill scams and deep corruption within government treasury and accounts offices.
Bhubaneswar, Oct 10: Odisha Vigilance has arrested three government employees in connection with a massive financial irregularity case involving ₹9.24 crore at the Roads and Buildings (R&B) Division‑1 office in Bhubaneswar.
The arrested officials include Krushnachandra Behera, Senior Accountant at Bhubaneswar District Treasury Office; Biswanath Das, Senior Assistant at Puri R&B Division; and Kumud Sahoo, a peon at Bhubaneswar R&B Division‑1. They were produced before the Bhubaneswar Vigilance Special Court following their arrest.
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Investigators allege that fake bills were passed to facilitate fraudulent transactions. Evidence suggests that accused Bibhudatta Nayak, a junior assistant at R&B Division‑1, transferred ₹3.9 lakh to Behera through PhonePe on 11 occasions between March 2025 and July 2026.
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✨Das is accused of providing bank details of his mother, relatives, and other accounts, which were used to deposit funds from unused leave salaries, gratuity, and other benefits.
This latest action follows earlier arrests on September 27, 2026, when six officials, including prime accused Banalata Mohanty, Section Officer at R&B Division‑1, and junior assistant Bibhudatta Nayak, were taken into custody.
Vigilance officials allege that the network of employees colluded to siphon off funds by manipulating official records and passing fraudulent bills.
The Vigilance Department has intensified its probe, focusing
on the shadow financial network that enabled the diversion of government funds.