Two young women were rescued from the flat in suburban Andheri, which was raided on Saturday, police said today.
The flat had been leased out to a well-known business house for 33 months and Singh said he is taking legal action against the private company for breach of contract.
"I am sending a legal notice to the company for breach of contract. I have not been to this flat for over four years," the newly-elected Lok Sabha MP from Baghpat in Western Uttar Pradesh told PTI by phone.
Two women - aged 20 and 22 - were rescued and one Vakil Raju Shah, appointed as the flat's caretaker by the firm and the alleged kignpin of the racket, was arrested, they said, adding Rs 4,000 was also seized from the premises.
Also Read
An FIR was registered against Shah under relevant sections of Prevention of Immoral Trafficking Act. He was produced before a local court, which sent him in police custody till June 3, said Harishchandra Parmale, Senior Inspector at Versova Police Station.
An officer probing the case said the flat was being used as a guesthouse by the company and most of the time it remained vacant.
"Shah cashed on this opportunity and used it for such illegal activities. We are trying to ascertain since when Shah had been into such activities," the officer added.