Sharma, against whom several cases were registered by police in New Delhi, Uttar Pradesh, Chennai, Mumbai and other places in the country, was arrested on Thursday from Varanasi by the economic offences wing of the crime branch, a police spokesman said here today.

A city court has remanded Sharma, a retired Syndicate Bank manager -- allegedly absconding for the last four months -- to police custody where he was being interrogated by the sleuths, the spokesman said.

Police have also arrested Sharma's relative Suraj Pal Sharma, accused of duping hundreds of investors through his South Delhi based company, Aspray Investment Pvt Ltd, he said, adding Suraj Pal had also been absconding for the last two months.

DCP (crime) Karnal Singh claimed B B Sharma had floated over 32 companies.