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A Hindu religious preacher, Sadhvi Jai Shree Giri, was arrested on Friday after Gujarat Police recovered 24 gold bars and over Rs 1 crore in new Rs 2,000 notes.

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Police had conducted a raid at the house of the Sadhvi in northern Gujarat following a complaint by a local jeweller. The complainant claimed that she did not pay him Rs 5 crore she owed him even after repeated reminders, NDTV reported.

The 45-year-old Sadhvi had stashed 24 gold bars, valuing Rs 80 lakh and Rs 1.29 crore in new Rs 2,000 notes. Police also found alcohol bottles at her home. Gujarat is a dry state and has prohibitions on liquor sale and consumption.

"We have lodged a case against three persons. So far, we have arrested the main accused which is the Sadhvi," said the police.

The Sadhvi heads a trust, which runs a temple in Banaskantha district. In December 2016, in the aftermath of demonetisation move by the Central government, the Sadhvi was filmed throwing Rs 1 crore in Rs 2,000 bills on singers at a public event.