Police arrested former Indian Finance Minister P. Chidambaram, 72, late on Wednesday.
A Supreme Court lawyer, he was arrested for corruption and money laundering.
India’s financial crime fighting agency alleged that Chidambaram abused his official position.
The Delhi High Court rejected his application to seek exemption from arrest.
The Supreme Court is due to hear his petition on Friday.
The individuals accused in the case face charges of “abuse of official position and criminal conspiracy in giving illegal approval,” a CBI official told reporters last month.
Chidambaram has been a vocal critic of Indian Prime Minister Narendra Modi and his policies.