Chennai, Mar 8 (IANS): The Central Bureau of Investigation (CBI) Wednesday arrested Additional Director General of the Directorate of Revenue Intelligence (DRI) C. Rajan for demanding and accepting a bribe of Rs.200,000 and an iPod as first instalment, said CBI officials.

According to CBI, on a complaint lodged by one F. Ubaidullah, a trap was laid for the senior DRI official and he was nabbed Tuesday night. He was Wednesday remanded to custody till March 21.

CBI said the DRI official had demanded a bribe to defreeze the bank accounts of Superking Myatzin, a relative of businessman Joseph who is a friend of Ubaidullah.

It is alleged that the DRI had raided the premises of Joseph and had seized cheque leaves of Myatzin and froze two bank accounts of the latter with Kotak Mahindra Bank.

Joseph had approached Ubaidullah to get the bank account defreezed. When the latter approached Rajan for the purpose, a bribe demand of Rs.1 million was initially made and later scaled down to Rs.800,000 and an I-Pod.

The first instalment of Rs.200,000 and I-Pod was delivered Tuesday to Rajan's driver.

After ensuring that Rajan had received the bribe money, the CBI caught both - Rajan and his driver. The CBI also raided the house of Rajan and seized incriminating documents including a safety locker.

Rajan's bank balance of Rs.3.2 million and fixed deposits of Rs.1.1 million have been frozen, CBI said.