An inquiry was launched after allegations of corruption

The 61-year-old, who is not a football agent, was arrested in Manchester on Wednesday by the economic crime unit.

This is the first arrest after "serious breaches" were found in the transfer market during an inquiry by former Met Police commissioner Lord Stevens.

Premier League chief Richard Scudmore received the findings last week.

Claims of 'bungs'

A police spokeswoman said: "We can confirm a 61-year-old man has been arrested in Manchester in connection with our investigation into football corruption."

The man has been released on bail until October.

The inquiry was commissioned by the Premier League after Luton manager Mike Newell alleged bungs existed in football.

Lord Stevens investigated 362 transfers between January 2004 and January 2006 and the investigative team spoke to officials from 29 clubs and football agents.

In March he said clubs had ignored or breached rules in at least 50 transfers and that 17 transfers are still under scrutiny.