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Limited-Angle Computed Tomography (LACT) is a nondestructive 3D imaging technique used in a variety of applications ranging from security to medicine. The limited angle coverage in LACT is often a dominant source of severe artifacts in the reconstructed images, making it a challenging imaging inverse problem. Diffusion models are a recent class of deep generative models for synthesizing realistic images using image denoisers. In this work, we present DOLCE as the first framework for integrating conditionally-trained diffusion models and explicit physical measurement models for solving imaging inverse problems. DOLCE achieves the SOTA performance in highly ill-posed LACT by alternating between the data-fidelity and sampling updates of a diffusion model conditioned on the transformed sinogram. We show through extensive experimentation that unlike existing methods, DOLCE can synthesize high-quality and structurally coherent 3D volumes by using only 2D conditionally pre-trained diffusion models. We further show on several challenging real LACT datasets that the same pretrained DOLCE model achieves the SOTA performance on drastically different types of images.