The Arunachal Pradesh government has reportedly issued a recovery order of around Rs 114 crore in connection with the Lada-Sarli Frontier Highway land compensation scam.
The move came after sustained pressure from activists and the East Kameng Social Welfare and Cultural Organisation, which has been seeking action on the Lada-Sarli stretch of the Arunachal Frontier Highway (NH 913) in East Kameng and Kurung Kumey districts. Alleged irregularities in land compensation are estimated to be between Rs 100 crore and Rs 130 crore.
The Ministry of Road Transport and Highways had sanctioned Rs 241 crore for land compensation, of which Rs 224 crore had already been released. Investigators suspect that over Rs 100 crore was disbursed through fake beneficiaries, inflated land claims, and exaggerated asset valuations.
Authorities have frozen and recovered assets worth around Rs 9 crore so far. The Anti-Corruption Bureau (ACB) has arrested several individuals and suspended multiple government officials in connection with the case. Brokers allegedly involved in facilitating bribes have also been detained.
The ACB investigation into the scam is still ongoing, and the highway stretch was recently handed over to the Border Roads Organisation amid delays and controversy surrounding the project. While authorities have begun recovery and enforcement measures, albeit slower than expected, the scandal has exposed alleged fake beneficiaries, inflated compensation claims, and administrative lapses in a strategically important frontier highway project, leading to arrests, suspensions, and delays in the execution of critical border road infrastructure.

