Unidentified miscreants looted Rs 2 lakh from a Panchayat Executive Officer (PEO) at Derasahi in Gunupur area in the district on Monday.
The incident came to the fore when the victim, identified as Balaram Mahapatra, lodged a complaint with police.
According to sources, Balaram had withdrawn Rs 2 lakh from State Bank of India. After reaching home, Balaram was taking out the bag containing the money from his motorbike dicky when some masked miscreants reached the spot and snatched away the cash bag from him and sped away from the spot.
Based on the complaint, police launched a probe into the incident.