Indian kidney racket fugitive held in Nepal

KATHMANDU (Reuters) - Nepal's police have arrested anIndian man suspected of being the mastermind of an illegalkidney transplant racket in India that may have duped or forcedat gunpoint hundreds of poor labourers into donating theirorgans.

The racket, first uncovered last month in the booming ITcity of Gurgaon outside New Delhi, was one of the largesttransplant rings reported in India for years and led to callsfor the government to stop a booming trade in backstreetoperations.

Amit Kumar was arrested at a resort in Chitwan NationalPark, 80 km (50 miles) southwest of Kathmandu on Thursdayevening. Chitwan is popular among foreign tourists for junglesafaris and wildlife watching.

Indian media said he aroused suspicions of a hotel employeewhen he cut out a news article about the kidney racket from anewspaper.

"He was sitting in the lobby of the hotel from where wearrested him," police officer Kiran Gautam said from Hetauda,the biggest town in the region.

"He did not resist being arrested," Gautam said.

Kidney failure has become more common in rich countries,often because of obesity, and a shortage of transplant organshas fuelled a black market that exploits needy donors.

At least five foreigners -- two U.S. and three Greekcitizens -- were found last month in a luxury guesthouse inGurgaon which was part of the racket, police said.

Some people were paid around 50,000 rupees (642 pounds) fortheir kidneys. They were sold to wealthy clients for 10 timesas much, according to police.

Suspicious neighbours said they had noticed blood runningout of the house's gutters, as well as blood-soaked bandagesand even bits of flesh thrown into an open plot near the housein Gurgaon, according to Indian media.

Kumar, wearing a black jacket and woolen scarf was laterparaded briefly in front of dozens of journalists at the citypolice headquarters in Kathmandu on Friday.

"I am innocent," he told reporters.

It was not immediately clear how or when Kumar will bedeported to India.

But police officer Upendra Kant Aryal said he could becharged in Nepal for illegally carrying large amounts ofdollars, euros and Indian rupees, a charge that could fetch upto four years in jail.

Aryal said police were also investigating if he wasinvolved in organ transplants in Nepal.

(Editing by Alistair Scrutton)