"The incident took place when Sethi, PEO of Purushottampur block, was on his way to distribute the cash in Tanka-chhai panchayat under social pension scheme," Sub divisional police officer Purushottampur Dillip Das said.
The miscreants detained the duo and decamped with the cash bag at gun point at around 10.30 AM, he said.
"Patrolling has been intensified in the area to nab the culprits following the incident and investigation is underway," the officer said.