David Daniel, a native of Almorah in Uttarakhand who ran a fake job racket along with two of his associates, was arrested after a complaint filed by one Shaji Narayan who is a resident of Kingsway Camp in North Delhi.
Narayan approached police in May alleging that three people, including David Daniel, cheated him, a senior police official said.
Narayan said the retired Colonel put out an advertisement in some leading newspapers in 2005 inviting overseas job aspirants.
He was asked to pay Rs 50,000 as advance and in July, 2006 when the victim and others made the payment took another Rs 2 lakh for preparing labour contracts. After that they disappeared.
Two other accused Anil Massih and Justin Fernandez are still absconding.