A 27-year-old food vendor has been arrested and $500,000 in cash, a firearm and ammunition recovered in the armed robbery of a businessman in East Canje, Berbice.

Police said the suspect, of Vryman's Erven, New Amsterdam, was arrested around 2pm on Sunday, a day after three masked, armed men robbed a beverage depot at No. 2 Village, East Canje.

The robbery occurred around 7:35pm on Saturday, October 10, at Lot 180, Number Two Public Road, where businessman Jagnarine Persaud, called "Balram", was in his office.

Persaud said the men arrived in a motorcar with its indicators flashing and no number plate. The vehicle reversed towards the business with its engine running. Three men got out and intercepted a customer who was about to leave.

Persaud said he rushed towards the door after hearing his five-year-old son shouting and encountered one of the suspects, who had entered the office. The men demanded money and threatened to kill him when he initially said he had none.

Fearing for his life, he handed over the key to a locked drawer, which the men opened before fleeing with an undisclosed sum of cash. His wife later told him the men were armed with two guns, a bat and a cutlass.

Acting on information, police recovered $500,000 in cash and a motorcar suspected to have been used in the robbery. A search of the vehicle turned up a .32 revolver containing two rounds of ammunition.

The firearm, ammunition, cash and motorcar have been lodged. The suspect remains in custody as police work to locate other suspects.

Persaud said he applied for a firearm licence four to five years ago and is still awaiting approval. He added that he had previously been robbed at another business location a short distance away.

Investigations are continuing.