LPG worth Rs 1.5 crore diverted, Chhattisgarh officer named mastermind of racket

Other than arresting Ajay Yadav, the mastermind, the police also arrested gas agency operator Pankaj Chandrakar and Raipur resident Manish Choudhary.

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Chhattisgarh Police busted LPG diversion racket

The Chhattisgarh Police have uncovered an LPG diversion racket valued at approximately Rs 1.5 crore, leading to the arrest of District Food Officer Ajay Yadav, who is accused of masterminding the conspiracy.

Alongside Yadav, gas agency operator Pankaj Chandrakar and Raipur resident Manish Choudhary have been taken into custody. The case involves the illegal siphoning of over 92 metric tonnes of LPG from six tanker capsules that had been seized under the Essential Commodities Act in December 2025 and were supposedly being held in secure custody.

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Investigators claim the conspiracy was initiated on March 23, when Yadav and Chandrakar allegedly met to plan the theft, later involving Choudhary to find buyers for the diverted gas. On March 26, the accused allegedly assessed the tankers at the Singhoda police station, estimating the volume at over 100 metric tonnes.

Subsequently, a deal was eventually struck with Thakur Petrochemicals for Rs 80 lakh. According to police reports, the illicit profit distribution was pre-planned, with Yadav allegedly slated to receive Rs 50 lakh, while his accomplices were to split the remainder.

The execution of the scam relied on a court-approved custody transfer process. Due to safety concerns during the summer heat, the district administration ordered the tankers moved to a secure facility. On March 30, the tankers were officially handed over to Thakur Petrochemicals for safekeeping. However, police allege that the gas was extracted within a week of the transfer. To cover their tracks, the accused reportedly forged panchanama documents and created fake weighment records, sometimes preparing the paperwork before the tankers were even weighed.

Authorities have dismissed any possibility of accidental leakage, noting that technical experts found the capsules mechanically sound and capable of holding the pressurised gas without incident. A 40-member police team utilised call records and scientific interrogation to dismantle the scheme, eventually seizing cash and mobile phones during the arrests. The trio now faces charges under the Bharatiya Nyaya Sanhita and the Essential Commodities Act for criminal conspiracy, breach of trust, and forgery as the investigation continues into potential further accomplices.

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Published By:
Akash Chatterjee
Published On:
May 12, 2026 19:26 IST