According to Deputy Superintendent of Police Jairaj Chapria, the sarpanch of Chandrapada gram-panchayat, Shakuntala Patil, had demanded Rs 1,50,000 for giving tax receipts to tenants of a chawl.
Later she hiked the amount to Rs 2,50,000.
She was arrested by the ACB while accepting a bearer's cheque of Rs 2,50,000 from the complainant.
A case under the Prevention of Corruption Act was registered against her at the local Waliv police station.
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