The accused were identified as Raj Kumar and Rajinder Singh. Raj Kumar is a PDS depot holder, they said.
A total of 36 quintal wheat was seized from Rajinder Singh, they said.
The duo was arrested yesterday under Section 420 (cheating) of IPC.
Meanwhile, in Hoshiarpur, two persons were arrested separately with a revolver and drugs, police said.
Harwinder was arrested along with a .45 bore revolver along with six live and two missed cartridges on Kotfatuhi Road, police said.