Acting on a tip-off, the CRPF and police personnel conducted raids and arrested Badru Singh Sardar, district SP, Indrajit Mahatha said.
The cheque was given by a businessman, who has been identified and police were verifying the issue, he said, adding the money was supposed to be used to strengthen the network of the ultra outfit in the area.
A can-bomb was also seized from the ultra, a close aide of area commander Kundan Pahan.
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