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imbroglio (n.)

1750, "a jumble;" 1818 as "complicated misunderstanding, intricate entanglement" (of persons, nations, etc.), from Italian imbroglio, from imbrogliare "confuse, tangle," from assimilated form of in- "into, in, on, upon" (from PIE root *en "in") + brogliare "embroil," probably from Middle French brouiller "confuse" (see broil (v.2); also compare embroil).

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Definitions of imbroglio from WordNet

imbroglio (n.)
an intricate and confusing interpersonal or political situation;
Synonyms: embroilment
imbroglio (n.)
a very embarrassing misunderstanding;
From wordnet.princeton.edu