Commissioner B Sunkappa, draftsman M Muniruddin and Second Division Assistant Narasimhalu have been arrested, Lokayukta police said.
It is said that one Mohammed Nahim had sought for conversion of a land for residential purpose. He had deposited Rs 1,87,000 as betterment charges to the Authority on January 18 on which day he also paid Rs 5,000 as first installment of the bribe.
Apart from this, unaccounted cash of Rs 2,13,000 was seized from the office of the Authority, Lokayukta authorities said.
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