The incident took place on July 1 at Hudkeshwar area when the victims, aged 12 and 14, had gone to meet one Pankaj Budbawre (22), whom the police identified as "lover" of one of the girls and also an accused in the crime.
The girls, one of them a student of class V and another a school dropout, met Pankaj, who took them to the residence of one of his friends Chhagan Srivas (30) in Hudkeshwar where they were gangraped, police said.
The accused identified as Pankaj, Prashant Jogdand (24), Chhagan Shirvas (30), Bhushan Jawre (21) and Sanjay Sontakke (23), were arrested yesterday, police said.
Medical examination of the girls confirmed sexual assault, they said.