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Odisha auditors held for extorting bribes from school students

Odisha's vigilance department has arrested two government auditors accused of systematically extracting bribes from students at state-run residential schools. Officials recovered over ₹14 lakh in cash kept in envelopes during raids on the accused.

LSN India · 11 September 2026

Odisha auditors held for extorting bribes from school students

The vigilance and anti-corruption bureau in Odisha has booked two auditors for allegedly demanding bribes of ₹10 per student from government-run residential schools across the state. The investigation was triggered after complaints from school administrators and parents about the unusual extraction racket. During searches at the residences and offices of the accused auditors, officials seized ₹14,38,340 in cash stored in multiple envelopes, which investigators believe are proceeds from the systematic extortion. The amount suggests the scheme had been operating across multiple institutions for an extended period. The auditors, who were tasked with conducting financial inspections of these schools, allegedly leveraged their official positions to coerce school administrators into paying the per-student bribes. School officials reportedly felt pressured to comply given the auditors' authority to conduct compliance checks and prepare inspection reports. The case has raised serious questions about accountability mechanisms within the education department and has prompted authorities to launch a broader inquiry into similar practices at other government institutions. The vigilance department is investigating how long the scheme operated and whether other officials were involved in the racket.