Around 12 houses were set on fire in predominantly dalits-inhabited Patragada village in Kendrapara district, the police said.
The incident occurred on Tuesday night when a group of unidentified miscreants allegedly set ablaze the thatched houses, Mahakalpada police station Inspector Padarabinda Tripathy said.
Tension has mounted up in the village and neighbouring areas even as the police is keeping close watch on the situation.
"It appears to be a fallout of political rivalry between two factions of ruling BJD and opposition BJP as per preliminary investigation done so far. No arrest has been made in this connection as investigation is underway to identify the culprits", Tripathy said.
