Srinivasan, 50, was arrested this morning on a complaint from one P S Ranganathan of Prakasam district in Andhra Pradesh, a police release here said.
Ranganathan alleged that Srinivasan took Rs 50 lakh as commission from him with a promise to secure a loan of Rs 20 crore. However neither the loan was made available nor did the actor return the amount, police said.
The actor has been remanded to custody, police said, adding he was found to have cheated some more persons. He was arrested by the Central Crime Branch of Chennai police.