Hussain Hilmy, a shareholder of Sunland Hotels Pvt Ltd, was arrested under a court order on Wednesday for issuing a bounced cheque.
While Hilmy is currently being detained at the Male’ Atholhuvehi Detention Centre, no further details have been revealed by police.
In February 2017, the court charged Hilmy to pay former defence minister Mohamed Nazim an amount exceeding MVR 2 million.
Nazim assented to give Hilmy until July 2017 to pay the due amount in installments. However, it is not known whether the payment has been completed.
Hilmy previously served as the Youth Minister and the Fisheries Minister during the regime of former president Maumoon Abdul Gayoom.
Sunland Hotels is a travel agency which owns and manages four luxury hotels across Maldives.