Marks Jordan Andrew, a US citizen, was detained yesterday after Immigration officials found the satellite phone in his bag.
He was questioned by CISF, in-charge of airport security, and later handed over to local police.
The American was arrested and a case registered under the Wireless and Telegraph Act, police said.
He was produced before a city court which remanded him to 14 days judicial custody.
Police said Andrew told them that he was unaware that satellite phones are banned in the country.