Lokayukt, received one point report to the effect that in the year 1977, there have been many irregularities with regard to 42998 bags of cement in cement stock of Irrigation Department, Pendra Road, and embezzlement of cement has also been done, whereupon an preliminary inquiry No.581/81 was lodged. From the official record, the Executive Engineer, Irrigation Department, Pendra Road came to know that earlier the State Government had sanctioned 4.35 Lakh and thereafter Rs. 10.20 lakh for Khujji Diversion Project, which was incomplete and for this project, on 22.05.1977 vide Invoice No.53, 2260 bags of cement, on 24.06.1977, for other project 1601 bags of cement and thereafter, on 25.10.1977 and 13.03.1978, total 1200 bags of cement in all 5061 bags of cement were handed over to Sub Engineer Narmada Prasad Diksena (since dead) by Store Keeper Sfdar Ali (accused/respondent No.1), which were described in stock register and the same has been signed by Section Officer A.C. Sondhi (accused/respondent No.2).