It was a nightmare in the Swargate area in the heart of the city, as the bus driven by a Maharashtra State Corporation bus driver came from wrong side of the busy Pune-Solapur Road and went past smashing about 40 vehicles on the way and mowed down pedestrians.

The 30-year-old driver, Santosh Mane, was arrested after an hour-long chase near Neelayam theatre in the city. Though initial reports said the bus driver was mentally disturbed, police said it was too early to comment.

Satpal Singh, ADG (Law and Order), said, "Nine persons are dead and 27 have been injured in the accident".

"He was hitting everything that was coming in his way," he said.

The Swargate bus terminus officials said they were investigating the incident involving the bus, which was scheduled to leave for Satara.

Pune mayor Mohansingh Rajpal, who visited the spot, asked angry citizens to maintain peace.

Police Commissioner Meeran Borwankar said Mane was a licensed bus driver on duty and took charge of the Satara-bound transport bus as scheduled

"After he embarked on the bus, he just went berserk. He went on ramming vehicles, hit pedestrians. He was in such aPune dangerous mood," she said.

Meeran said the driver started operating the vehicle belonging to the Satara depot at 8.15 am, around the time when there is a peak movement of school buses in the morning.

Borwankar said the driver was not under suspension and finished his regular duties yesterday at 7.30 pm.