Detectives from the Financial Crime Squad have today charged a man as part of an investigation into a $20M extortion linked to the property development industry and organised crime, which included an arson attack on a Glen Iris property over the weekend.
A search warrant was executed at a residential address in Caulfield this morning.
A 50-year-old Caulfield man has since been charged with three counts of extortion, blackmail and possess cocaine.
The man will appear at Melbourne Magistrates' Court later today.
Following a number of property development dealings, police will allege two victims began receiving threatening calls and messages from an international number.
The messages allegedly demanded payment of $20M and $250,000 respectively.
It will be alleged threats were also made to burn down the victim's house.
Police and emergency services responded to a fire in Glen Iris on Saturday, 14 March.
Officers were told two Molotov cocktails were thrown into two townhouses just before 4am.
One Molotov cocktail landed in the driveway of one townhouse and the second one hit the porch area of the other, causing it to catch fire.
The premises sustained minor damage.
The occupants inside at the time were not physically injured during the incident.
Police will allege the man involved had engaged the services of a man based offshore to recuperate what he said were debts owed to him.
The investigation remains ongoing.
Anyone with further information is urged to contact Crime Stoppers on 1800 333 000 or submit an online confidential report at www.crimestoppersvic.com.au
