Fraud – Odisha Vigilance Arrests Couple in ₹5.56 Crore Scam Case
Fraud – Odisha Vigilance officials on Thursday apprehended the main accused in a multi-crore embezzlement case along with his wife, bringing a significant breakthrough in an investigation involving alleged misuse of government funds worth ₹5.56 crore.
Arrest After Multi-State Search
According to senior vigilance authorities, the accused, Pradip Kumar Mohanty, a retired headmaster who had been re-employed at a Block Education Officer (BEO) office, was arrested along with his wife, Gitarani Mohanty. The couple had reportedly been evading arrest for several days, frequently shifting locations across Odisha and West Bengal to avoid detection.
Officials said the search intensified after inputs suggested the couple might be hiding in Kolkata. A vigilance team was immediately dispatched to the city, where several suspected locations were raided. However, anticipating enforcement action, the couple left Kolkata on Wednesday night.
Hideout Traced in Bhadrak
The accused eventually took shelter in a hotel in Charampa area of Bhadrak district. Acting on precise intelligence, vigilance teams conducted an early morning operation on Thursday and successfully detained both individuals from the hotel premises.
Authorities confirmed that both are currently under interrogation as part of the ongoing investigation.
Funds Diverted to Family Accounts
Preliminary findings indicate that the misappropriated funds were transferred into multiple personal accounts linked to the accused. These include accounts belonging to Pradip Mohanty, his wife, and their son, Matruprasad Mohanty, who had already been arrested a day earlier.
Investigators revealed that the financial transactions were carefully structured, suggesting a planned and coordinated effort to siphon off government funds over an extended period.
Role of Bank Official Son
Matruprasad Mohanty, the couple’s son, was serving as a branch head at a private finance bank in Bhadrak at the time of the alleged fraud. Officials suspect his role was crucial in facilitating the movement and management of the illegally obtained funds.
Vigilance authorities believe that his professional position may have helped streamline the transfer process and avoid early detection.
Modus Operandi Uncovered
The investigation has revealed that the fraud was carried out at the office of the Block Education Officer in Korei, located in Jajpur district. The total financial loss to the government has been estimated at ₹5,56,11,495.
Officials stated that Pradip Mohanty allegedly exploited his re-engagement at the BEO office to gain unauthorized access to the Human Resource Management System (HRMS). Using this access, he reportedly targeted the accounts of 13 retired teachers who were receiving pensions.
By manipulating system credentials and account details, the accused is believed to have diverted pension-related funds into accounts controlled by his family.
Fraud Spanned Nearly Six Years
Investigators noted that the alleged embezzlement took place over a prolonged period, beginning in November 2018 and continuing until September 2024. The scale and duration of the fraud have raised concerns about systemic vulnerabilities and oversight mechanisms within the department.
The matter came to light after discrepancies were noticed, prompting the Education Department to refer the case to Odisha Vigilance for a detailed probe.
Investigation Continues
Following the referral, vigilance officials initiated a comprehensive investigation, leading to the arrest of Matruprasad Mohanty on Wednesday and the subsequent capture of the main accused and his wife.
Authorities have indicated that further investigation is underway to identify any additional individuals involved and to trace the full extent of the financial trail.
Officials also stated that efforts are being made to recover the misappropriated funds and strengthen safeguards to prevent similar incidents in the future.