New Delhi, Sep 7 - Delhi Police have solved the murder of the president of traders' association in Dadri area of Uttar Pradesh last week with the arrest of a high profile contract killer, an official said Monday.

Narender Bhatti alias Ravana was arrested late Sunday from south Delhi and an automatic US-made 9mm pistol, two live and two used cartridges, three live cartridges for .315 bore pistol and a stolen motorcycle were seized from him.

'During the last three months, the gang of Bhatti alias Ravana had unleashed a reign of terror in Gautam Budh Nagar area (Noida). In Dadri area of Uttar Pradesh, Bhatti and his gang members had opened fire on police many times,' Deputy Commissioner of Police (south) H.G.S. Dhaliwal said.

He said the gang's terror was further increased when they gunned down Vinod Goel, the president of Dadri Traders' Association, in broad daylight for raising a voice against their regular extortion demands on the business community and mounting pressure on the local police to take action against the gang.

Various teams of Delhi Police and Uttar Pradesh police were pressed into service to arrest members of this gang.