New Delhi, Apr  5: Delhi Police Special Cell  with the help of Haryana Police and Directorate of Revenue Intelligence today arrested a fugitive businessman Deepak who had been running a red sandalwood smuggling trade.

Police said, Deepak was part of the Rs 100 crore racket that was busted by DRI last year in Kerala.

According to police, Deepak had close links with AP Maoists and he used to smuggle red sandalwood from the Indian border checkpost at Moreh, Manipur, to Myanmar, for onward delivery in China. Red sandalwood, a banned item, is in great demand in China.

Deepak used to operate a restaurant STEP in Indonesia in 2009. He had three warehouses in Gurgaon, which were raided by police. Profit earned from the smuggling trade was funnelled to Maoists, police said.