Aluthgamage arrived at the Financial Crimes Investigations Division (FCID) in Colombo to record a statement over the alleged deal which involved importing a consignment of carrom boards while he was in office in 2014, reports Xinhua news agency.
He was arrested after being questioned for hours by investigators.
Sri Lanka's unity government, led by President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe, have vowed to curb corruption and arrest high-profile officials who were involved in financial fraud during the previous government.
Several cases against ministers in the former government have been lodged with the FCID and the island's Bribery and Corruption Commission.
Former ministers named in corruption scandals have denied any wrongdoing and blamed the government for carrying out a witch-hunt.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)