Acting on a tip-off, police apprehended one Vinod Vishwakarma (29) at the Teen Haath Naka and recovered two pieces of red sandalwood from him, Wagle Estate headquarters senior inspector Prakash Gavhane said.
Later, on the lead provided by Vinod, police seized 1.5 tonnes of sandalwood worth Rs 4.01 lakh from Daighar near Thane city and 5 tonnes worth Rs 12.5 lakh from a godown in Uran in the neighbouring Raigad district, Gavhane said, adding that the seized sandalwood's cost was worth several crores in international market.
The red sandalwood is smuggled to some foreign countries as it fetches a good value there, police said.
Police also arrested a custom house agent, Pravin P Joshi (42), who handled the export activities there and was allegedly involved in smuggling of the precious wood.
Joshi had been booked earlier on similar charges and was being probed by Mumbai police, police added.