Siddhesh Abhange, a Shiv Sena youth leader, was attacked inside Thane's Kopri police station on Monday night after a dispute with textile businesswomen.
Kopri police station officials said the assault erupted when a businesswoman and an associate confronted Abhange over a monetary disagreement, and the altercation quickly escalated inside the station premises.
Officers intervened and separated the parties, but the incident left the neighborhood in brief tension.
Police have registered an FIR and are recording statements from both sides while investigating the assault.
The case will be reviewed by the Thane police and may lead to criminal charges under the Indian Penal Code.