Police arrested the man on suspicion of child neglect following reports that a person tried to sell a baby in Manchester's Barton Arcade.
A member of the public said he was approached by a man with a three-month-old baby girl in a pram. The man reportedly offered to sell the baby for 1,000 pounds.
A huge police hunt was launched amid claims that he went on to ask at least two other people if they wanted to buy the baby, The Telegraph reported.
Officers used social media to appeal for help from shoppers as they launched a major search amid concerns for the baby's welfare.
They also issued a photograph of a man seen pushing a pram who they wanted to question.
Police asked Metrolink, bus and train operators to tell staff to keep a look out. They also stationed officers at key exit points of the city. Officers also trawled through footage from city centre CCTV cameras.
Chief Supt Nick Adderley tweeted, "Man trying to sell baby in Manchester city centre -- significant resources now 'zoning off' the city to try and locate the male."
The man was arrested on suspicion of child neglect on Sunday. Police said the baby girl was safe and well and in protective custody.
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