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Three people were arrested on Tuesday allegedly with 1,000 gelatin sticks and an equal number of detonators in Bhiwandi in Thane district, police said.
Acting on a tip off, a car was stopped at Nadi Naka at 3pm and the seizure was made from Alpesh @ Balya Hiraji Patil (34), Pankaj Acchelal Chouhan (23) and Sameer @ Samya Ramchandra Vedga (27), all residents of Vikramgad in neighbouring Palghar district, an official said.
A preliminary probe has found they had stolen the explosives and were planning to sell it, he added.
The Nizampura police have registered a case under IPC and Explosives Act provisions, the official said.