The two countries also firmed up a pact to effectively deal with money laundering, terror financing and ratified a treaty on the Transfer of Sentenced Persons, enabling both sides to swap prisoners after they have served a portion of their prison terms.
The two sides signed seven agreements, including cooperation in space technology and education after wide ranging talks between Prime Minister Manmohan Singh and his Thai counterpart Yingluck Shinawatra.
"Our growing security cooperation received a major boost today. The Extradition Treaty, concluded after two decades of negotiations, and a memorandum on cooperation in anti-money laundering send a major signal of our shared commitment to combating terrorism, organised crime, drug trafficking and counterfeiting," Singh said.
He added, "We also agreed to continue strengthening defence relations, including through exchanges, exercises and joint patrolling".
More From This Section
Thailand has long been a refuge for underworld dons and outlawed groups.
Zingada attacked Chhota Rajan in 2001 on the orders of Chhota Shakeel, Dawood's right-hand man. Rajan was severely injured in the attack but escaped from a hospital here to avoid deportation to India.
The cooperation between Thai and Indian law-enforcing agencies had led to the arrest of Santosh Shetty, one of Rajan's close aides here in 2011.
Naga insurgent outfit National Socialist Council of Nagalim (Isak-Muivah) too maintained an office at Chiang Mai.