Biswal, who is the MLA from the Cuttack-Choudwar Assembly seat, was arrested from Bhubaneswar after detailed questioning last night, the CBI sources said.
Earlier this year, the CBI team had raided Biswal's government quarters in MLA Colony in Bhubaneswar and his house at Mahanadi Vihar locality in Cuttack, they said.
Biswal was questioned several times in 2014, while his wife Laxmi Biswal was also grilled by the CBI.
A number of cases have been registered against nine companies of the Seashore Group.
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