Crime Branch of the city police on Friday arrested an alleged aide of DK Rao for allegedly extorting Rs50 lakh from a South Mumbai based businessman.

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The accused has been identified as Vijay Babar. The cops said that Babar called up the businessman claiming to be an aide of Rao and said that his boss (Rao) wants to speak with him. Babar, further asked the complainant to meet Rao at his residence in Dharavi.

Fearing that he might be killed, the complainant approached the police, who then traced Babar and arrested him. Cops are now in the process of investigating whether Rao is still running his syndicate from inside the jail, where he is being imprisoned for being involved in the killing of senior journalist J Dey.