Mohammad Arif Hasan was arrested after police received a tip-off, they said.
Hasan was also being questioned in connection with the killing of Sandhya Singh, wife of a senior customs officer, police sources said.
However, nothing had surfaced so far to link him with Sandhya's case, they said.
Sandhya Singh, sister of yesteryear actresses Sulakshana Pandit and Vijeta Pandit, went missing in December, and her skeletal remains were found in neighbouring Navi Mumbai recently, with latest forensic report suggesting an assault before the death.