The incident was reported from Lakhnawali village, under Surajpur police station limits, and the accused was arrested Sunday, police said.
The accused and the complainant were friends for some time and she had asked for money from him on multiple occasions citing various reasons, a police official said.
On October 11, the man approached police claiming that the woman had demanded Rs 10 lakh from him and threatened to implicate him in a false rape case if he did not pay the money, Station House Officer, Surajpur, Muneesh Chauhan said.
An FIR was lodged and the matter was probed following which an investigation was conducted during which text messages shared between them were also reviewed, he said.
She was charged under the Indian Penal Code Sections 388 (extortion by threat of accusation of an offence punishable with death or imprisonment for life, etc) and 506 (criminal intimidation), Chauhan said.
The SHO said the woman was produced in the court which remanded her in judicial custody.