Ibrahim is currently said not to be in the UAE, but could in theory be arrested when he returns. Chadha, on the other hand, whose name figures in the first Bofors chargesheet that came out last week, has been living in Dubai for many years now.

Besides the extradition treaty, visiting UAE minister for Justice, Islamic Affairs and Awqaf Mohammed Makhira al Dhaheri and External Affairs Minister Jaswant Singh, signed an agreement on mutual legal assistance in criminal matters as well as an agreement on mutual legal assistance in civil and commercial matters.

According to a press release issued here, the extradition treaty will now provide a `legal framework for seeking the extradition of terrorists, economic offenders and other criminals' from theUAE.

Interestingly, the treaty will have retrospective effect and extradition will be possible irrespective of the fact that the crime was committed before or after the entry into force of the Treaty.

The agreement on mutual legal assistance in criminal matters aims to improve the effectiveness of both the countries in the investigation, prosecution and suppression of crime.