Gangster-turned-politician Arun Gawli was booked on extortion charges on Tuesday by Mumbai police, who allege he forced a businessman to pay a huge amount to settle a business dispute.

A senior Mumbai crime branch official said Gawli could be arrested any time now, along with his lieutenant and corporator Sunil Ghate who has also been booked as co-accused in the case.

Gawli and Ghate are charged with having forced a businessman from a central Mumbai suburb to settle a business dispute with his brother a month ago. In return, the Chinchpokli legislator allegedly extorted Rs 15 lakh from the businessman, police sources said.

Ghate was questioned some time back in connection with the case but Gawli is yet to be questioned, said a crime branch official adding at least half a dozen Gawli men have also been booked as co-accused in the case.