Navneet Singh, who is studying engineering in Punjab, had come home for Diwali when he was kidnapped from his house on November 5. A demand of Rs 1 crore as ransom was made for his release, police said.
After a week's haggling, the kidnappers settled the deal at Rs 25 lakh. Police, who had been kept in loop by the Naveen's family, assembled at the spot where the Naveen's father Ravindra Singh was to meet the kidnappers yesterday.
Superintendent of Police Rajesh Krishna said the accused belonged to Muzaffarnagar, Bijnor and Haridwar districts and that their leader, Kamil, had admitted that they had been committing kidnappings in neighbouring areas for some time.