Lugari Member of Parliament Ayub Savula Angatia has been arrested by DCI detectives.
The Friday arrest was on charges of conspiring to steal Sh122,335,500 from the ICT ministry.
“He will be arraigned in court on Monday,” DCI said in a tweet after.
Savula joins the ranks of high-profile cases that the Directorate of Criminal Investigations is handling.
This came at a time the government is investigating loss of Sh2.5 billion at the State advertising agency.
There are reports the government lost the monies in falsified payments to phony companies.
DCI officials say the Sh2.5 billion was paid to 101 fictitious companies, most of which were registered in names close to those of media houses.
The Government Advertising Agency was established in July 2015 to handle advertisements from all State ministries and departments.