Gangtok, Jan. 9: A contractor was arrested for abducting a man yesterday and demanding Rs 45 lakh. The abducted person is also a contractor.

Chandan Gurung was picked up by the Sadar police from 6th Mile, Tadong, for “wrongful restraint and criminal trespass”. A hunt is on for two more persons involved in the extortion bid, the police said.

Sanjay Agarwal, a Class IA government contractor from Singtam, said in his complaint that he was confined to a hotel in Tadong for two hours. “The three persons then seized my mobile phones and rained blows and kicks on me. I shouted for help but in vain. The accused then demanded Rs 45 lakh from me.”

The trio also threatened to kill Agarwal, if he did not pay the money. Agarwal was supposed to have recovered Rs 45 lakh from his brother and given it to the abductors. He denied having made any such promises. The trio had apparently lent the money to Agarwal’s brother.

Agarwal escaped from the spot on the pretext of going to a bank to withdraw the money.