Two pseudo Maoists, who had allegedly indulged in largescale extortion of money from businessmen, were arrested by the city police on Saturday.

The accused — M. Anil Kumar and K. Madhu Babu — both 27 years and hailing from Thimmapuram village in Guntur district had made threat calls to J.S.N. Raju of Bhanu Nagar, HB Colony, here seeking payment of a large amount of money. They identified themselves as Maoists.

Raju lodged a complaint with the Three Town police on April 22. The police took up investigation along with the City Task Force police. The accused gave a tough time to the police as they kept changing their SIM cards to avoid detection.

Three Town Inspector V. Srinivasa Rao said the accused had indulged in extortion of money from businessmen to the tune of Rs.10.5 lakh during the past one year.

CTF Inspector R. Srinivasa Rao and Three Town Inspector V. Srinivasa Rao are investigating the case under the supervision of Deputy Commissioner of Police (L& O) P. Viswa Prasad.