V S Renish, 29, who hailed from Kerala, was reportedly deserted by his friends fearing legal action, a Times of Oman report said.
Renish lost his life in a fatal accident near Ibri in Oman on August 26.
The body is now kept in the Royal Oman Police mortuary.
"Nobody came forward to claim his body or complete the necessary formalities to send it back to his hometown because police found cartons of illicit liquor from his car.
"But now, with the help of embassy officials and social workers in Ibri, the body will be flown back to his hometown," social worker P M Jabir told the newspaper.
Renish had come to Oman on a family visit visa on August 7.
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"What I learnt is that it were Renjith and Jayaram, who brought Renish on a family visit visa and handed over the car to him. But after the accident, as they knew they would be held for trading illicit liquor, they left Oman for Dubai.
Instead of helping to airlift the body, they were demanding money from the relatives and friends of Renish to complete the formalities.
If they had helped, the body could have been airlifted within three days," Jabir told the newspaper.