The CBI arrested Sunil Reddy, said to be a close aide of Kadapa MP Y S Jagan Mohan Reddy, in the Emaar-APIIC land case.
"Sunil Reddy was arrested in Emaar case. He will be produced in the Special CBI Court in Hyderabad today," sources in the central agency said.
This is the second arrest in the case after the investigating agency filed an FIR in August last year.
The case relates to the alleged irregularities in transfer of land and sale of villas and apartments in a township jointly developed here by state-run Andhra Pradesh Industrial Infrastructure Corporation (APIIC) and Dubai-based infrastructure firm Emaar.
The first person to be arrested in the case was Koneru Prasad, a businessman.