Example sentences:

Ramayana:  While the Ramayana uses literary ornaments to embellish the narration of the story, the story itself is not a poetic exaggeration; it is a historical description.

Mahabharata: After the mysterious killing of Bakasura, the villagers embellished the story of his death till his heroic slayer attained mythic status among them.  

Bhagavad-gita:  Whenever we do anything good, our mind often embellishes events so that we start believing that we are more virtuous and glorious than what we actually are.