New Delhi, Aug 11 - A prostitution racket being run from a hotel in central Delhi was busted and the manager and two callgirls were arrested, police said Tuesday.

Satish Sharma, manager of Hotel Kamal in Anand Parbat, was arrested Monday when he was fixing a deal for two women for Rs. 1,000 each with a policeman, who was acting as a decoy customer. The two girls were also arrested.

'Both the girls got involved in prostitution to earn easy money and they were in the flesh trade since the last three years,' said a police officer.