The office of the Papua New Guinea Assistant Police Commissioner, Aloysius Eviaisa, has been closed following a police raid.
The Port Moresby superintendent, Emmanuel Hela, says members of the Police Fraud Squad as well as uniformed police, conducted a search of Mr Eviaisa's office yesterday.
Mr Hela says charges would be laid against Mr Eviaisa as soon as detectives had completed their report.
Mr Eviaisa, who is also the President of the Police Association, is under investigation for allegedly misusing 2-point-2 million US dollars belonging to the association.
Others alleged to be implicated in the case are the association's executives and two serving policemen.