Here are 10 developments in the story:
Chhota Rajan, whose real name is Rajendra Nikalje, is wanted for over 80 cases of murder, extortion and drug trafficking in India, mainly Mumbai.
The 55-year-old gangster is in CBI custody for now and will be in Delhi, not Mumbai, where he faces most cases.
A special plane sent by New Delhi to bring Rajan arrived at around 5 am. It was still dark when he was taken to the barricaded CBI headquarters in a large convoy that included armed escort vans, a SWAT team, commandos and also a decoy car to ward off the media.
Rajan is expected to be formally arrested after being produced in court. His health was found stable in a medical check-up; sources say he has a kidney ailment.
The gangster had been hiding in Australia for years, but fearing his enemies would find him, was able to fly to Bali where he was arrested on October 25, without resistance, according to news reports.
Rajan's return was delayed as a volcanic eruption near Bali had disrupted flights and forced the airport to shut down for almost two days.
Rajan has reportedly conveyed to Indian officials that he fears for his life in Mumbai and faces threats from underworld don and terrorist Dawood Ibrahim, his former boss turned enemy.
He has said that "some in the Mumbai police" have links with Dawood Ibrahim. "The Mumbai Police has done a lot of 'atyachar' (atrocities) on me...Some in the Mumbai Police are mixed up with Dawood," he had told reporters in Bali.
Rajan, who started his criminal career by selling movie tickets illegally, was a loyal lieutenant in Dawood's notorious organised crime group known as "D-Company", one of several underworld outfits that had a grip on Mumbai in the 1980s and 1990s. The two fell out after the 1993 blasts, which Dawood is accused of masterminding.
In 1995, Interpol put out a notice saying Rajan was wanted for multiple charges including murder and possession and use of illegal firearms.
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