"Iranian authorities have directly and indirectly conveyed to Pakistan that they were investigating whether or not Kulbhushan Yadav crossed into Pakistan illegally," The Express Tribune reported, citing top government sources.
Yadav, who was reportedly arrested in Balochistan after he entered from Iran, has been accused by Pakistan of planning "subversive activities" in the country.
Pakistan Army had also released a "confessional video" of Yadav, who said he was a serving Indian Navy officer.
India, which has already claimed Yadav was picked up from the Iranian soil, is putting pressure on the Islamic Republic to register a case against Pakistani agencies, the paper said.
India is also seeking to enlist support of the US, the UK and France to convince Iran to go by its claim that Yadav was kidnapped from the Iranian soil, it said, quoting sources.
Pakistan Army chief Gen Raheel Sharif also took up the matter with Iranian President Hassan Rowhani during the latter's recent visit to Islamabad, the report said.
The Islamic Republic suspected Yadav had been missing for a few months - and not since March 3 when Pakistan claimed he was arrested, the paper added.
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