Eleven years ago, the Maoists had raided the Nayagarh police armoury and looted a huge cache of arms and ammunition.
Later, the Red rebels had buried the looted arms and ammunition in various jungles in Gajapati district.
On Thursday night while patrolling, the police received information from some source that arms were hidden in the Valiaguda jungle.
On Friday, the police recovered one Insas rifle, five magazines and 86 bullets hidden below the ground.
Another team while patrolling near Hichagandhi village intercepted two local residents Rabi Mallick and Hariraj Mallick going towards the jungle with two country made guns, gun powder and bullets..
A case has been lodged in the Mohana police station and both of them were arrested, said Gajapati Superintendent of Police Sara Sharma.
Keeping in view the impending elections patrolling has been intensified to curb the flow of illegal arms, added Sharma.