Deputy Superintendent of ACB B B Tirkey, said head clerk Umesh Choudhury was caught red-handed while he was accepting Rs 4,000 from teacher Dayawanti Tirkey, who had retired from Chatakpur Middle School in Mahuatand block last year.
Choudhury had been demanding bribe to clear her file related to post-retirement settlement.
The retired teacher had registered a complaint with the ACB in this regard.
A team headed by Tirkey conducted raids and arrested Choudhury while receiving the cash from the retired teacher, the DSP added.