CHITWAN: Police have busted a gang involved in extortion by threatening industrialists of Chitwan in guise of representative of the Indian Intelligence Agency 'RAW', recently.

Chitwan District Police Office made the suspects public today amid a press meet in Bharatpur in the district.

SP Deepak Thapa said all the suspects were arrested from a guesthouse in New Buspark area in Gangabu, on Monday, Kathmandu.

Police identified the suspects as Ishwori Basnet (30), Roshan Basnet (22), Manoj Shrestha (20) of Jwalamukhi Rural Municipality-2 and Ram Krishna Shrestha (22) of Jwalamukhi Rural Municipality-1 in Dhading district.

SP Thapa informed the suspects were held in coordination with Mid Regional Police Office Hetauda, District Police Office Chitwan, Kathmandu Metropolitan Police Range and Central Investigation Bureau.

Meanwhile, Thapa said police are preparing to file a case under the Prevention of Organised Crime Act, 2013.

Thapa further shared they had issued death threats and demanded up to Rs 5 million from a factory producing paper boxes, however, declined to name the industrialist.

Earlier, in the pretext of applying jobs as security guard in the company, they observed the situation and targeted the owner for ransom, police said.

It has been learned that Ishwori Basnet, masterminded of the crime, had served as sergeant in the Armed Police Force for four years before abandoning the force. He was working as a contractor in the district as of late.

Roshan Basnet has recently returned from Saudi Arabia where as other two accomplices are college students in the Kathmandu, according to police.