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The arrested have been identified as Abdul Basheer (29), residing in Bantwala, and Sadiq (30), from Kadaba. The third accused, Faizal, is already in custody in a separate crime case in Mysuru, police added.
Police said that they are on the lookout for another individual named Amir, who is currently absconding.
Among the accused Faizal, previously employed as a driver for the victim, John Mathew (64), a resident of Ernakulam district of Kerala. Mathew, who had retired from the Indian Army, is unmarried, police said.
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At the homestay, Faizal, Abdul Basheer, Sadiq, and Amir presented a woman, convinced John Mathew to marry her, and conducted a ceremony.
Subsequently, they demanded Rs. 10 lakhs from Mathew, threatening to show the wedding photos to his family if he did not comply. Fearing the consequences, the victim paid Rs. 8 lakhs in cash to the accused, and a cheque was provided for the remaining amount.
Mathew later approached the police and registered a complaint.
Police said they have recovered three mobile phones used in the crime, along with cash worth Rs. 1,05,000 and a Cheque of Rs. 2,10,000 from the accused.