Cuttack, April 18: City police today claimed to have nabbed a notorious gangster identified as Sk Babu, a resident of Pension Lane near Buxi Bazaar, while he was demanding money from a businessman over the phone.

Babu was injured in an encounter with the police, while his aide Md Shakil managed to escape. The cops recovered a pistol and two empty cartridges from their possession.

Cuttack deputy commissioner of police Sanjeev Arora said: "Sk Babu is accused in a series of crimes involving breach of peace in Cuttack."

The Shakil-Babu gangster duo along with a few members of their gang managed to escape to Nawada in Bihar after the city police turned the heat on them a week ago.

Apart from running an extortion racket, they were involved in bombings and firings incidents. A special squad managed to track them to Nawada, but they gave the slip to the cops and took refuge in a relative's house in Sambalpur. Though the squad tracked them again, but they managed escape before the police team reached the western Odisha town.

On Monday evening, Manglabag police station got a tip off about the Shakil-Babu gangster duo and their associates in Hadia Patha by the side of Mahanadi river.

A police team consisting of assistant commissioner of police P.K. Rath, inspector A.K. Swain and special squad members rushed to Hadia Patha.

After reaching the area with vast stretch of trees around 8.30 pm, the police team was able to ascertain the presence of the Shakil-Babu gangster duo there.

"Suddenly, the criminals open fired. Babu opened fired at the police party and the police team retaliated," Arora said. "During the exchange of fire, Sk Babu suffered injuries in his right thigh. He was admitted to S.C.B. Medical College Hospital immediately," Arora said.

A 7.65 mm pistol and Rs 10,000 was seized from Babu.

The police said eight criminal cases, including a murder case, were registered against Babu in Cantonment, Mangalbag, Malgodown, Lalbag and Choudwar police stations of Cuttack urban police district between 2010 and 2017.

The cops said Babu was accused in assault, wrongful restraint and theft cases in Cantonment police station limits in 2010. He became a dreaded gangster along with Md Shakil and allegedly ran an extortion racket.