Pankaj Mahindra, who owns a jewellery shop, was on his way home in Allahabad when he was kidnapped on September 5. A case in this connection had been filed at the concerned police station.
The family had also received a ransom call demanding Rs 10 crore, police said.
Fatehpur police yesterday arrested four kidnappers from near Sarkandi village on the bank of Yamuna, and on their information rescued the jeweller.
During interrogation, they revealed that the plan to kidnap Mahindra was chalked out during a meeting with Babloo in Bareilly jail, where he is currently lodged. The don had arranged the shooters from Gorakhpur, police said.
The plan was to send the ransom amount to Babloo through hawala transaction in Dubai, police said.
A nine MM pistol, a .315 bore country made weapon, laptop and police uniform were recovered from the arrested, they added.