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Vigilance arrests banker’s parents in Rs 5.56 crore fraud case

Updated: March 19th, 2026, 23:13 IST
in State, Top Stories
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Forest officer under Vigilance scanner in Odisha

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Jajpur: A day after arresting a banker, Odisha vigilance officers Thursday arrested his father and mother along with another man for allegedly embezzling government funds to the tune of Rs 5.56 crore in Jajpur district, officials said.

The accused have been identified by the vigilance officers as Pradip Kumar Mohanty, his wife Gitarani Mohanty and Bishnu Prasad Dash, former senior clerk at the office of BEO, Korei.

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Pradip’s son, Matruprasad Mohanty, the branch head of a small finance bank in Bhadrak, was arrested by the Vigilance team Wednesday.

The vigilance team managed to catch the couple after tracking them across multiple locations in Odisha and West Bengal as they were on the run to evade arrest.

Pradip, a headmaster in a government high school under the Korei block education office (BEO), was re-engaged in the Korei BEO office after his retirement seven years back.

The couple had allegedly been absconding since the misappropriation case came to light, and they had been frequently changing their locations to save themselves from the police net, a vigilance officer said.

Acting on an intelligence tip-off, a team of the anti-corruption department carried out raids at their suspected hideouts in Kolkata, where the duo was believed to be hiding a couple of days back. However, sensing trouble, they reportedly fled Kolkata on Wednesday night.

The couple later took shelter at a hotel in the Charampa area in Bhadrak district late Wednesday night, where they were finally apprehended by the Vigilance team Thursday morning, he said.

The officials said the accused are currently being interrogated in connection with the case.

Preliminary investigation revealed that the misappropriated government funds were transferred to multiple personal accounts, including those of the main accused, Pradip Mohanty, his wife Gitarani, their son Matruprasad, and other members of their family.

Officials said Pradip, in connivance with his banker son Matruprasad, fraudulently showed 13 retired teachers as still in service and prepared monthly salary bills to the tune of Rs 5.56 crore in their names. The duration of the fraud spanned nearly six years, from November 2018 to September 2024, they said.

The funds were then diverted into personal and family bank accounts through illegal access to the Human Resource Management System (HRMS). Further investigation is underway to trace the money trail and identify other individuals involved in the fraud, the officials said.

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