Mumbai, Oct. 11 -- Ravi Mallesh Borra, also known as DK Rao, a close aide of jailed gangster Chhota Rajan, and two associates were arrested on Friday by the Anti Extortion Cell (AEC) of the Mumbai Crime Branch in an extortion and threat case.

His two associates, and small time builders, Anil Sing and Mimit Bhuta, were also arrested. He was apprehended outside the sessions court complex in south Mumbai this evening, the official added.

Ghuta, a Ghatkopar-based builder, allegedly took money from several small-time investors and promised them flats, said a police officer. He failed to hand over the flats to those who paid, and when they demanded their money back, he refused to return it and approached Rao. Rao allegedly called the investor...