Eric V. Bartoli was indicted in 2003 by a federal grand jury on charges including money laundering, securities fraud and conspiracy.
Oscar Llatas, chief of the fiscal division of the Peruvian police, said Bartoli had been arrested as he left his home to exercise, the (Cleveland) Plain-Dealer reported Thursday.
Llatas said Peru had received an extradition request from U.S. authorities.
Peruvian police said they found documents indicating Bartoli had multiple identities in three nationalities.
Bartoli was also wanted in Peru on money laundering charges.
The Securities and Exchange Commission has fined Bartoli $49 million for allegedly selling phony mutual funds and other financial documents to Ohio residents and wealthy Latin Americans in the mid-1990s.
If convicted of the U.S. charges, Bartoli could face more than 10 years in jail and hundreds of thousands of dollars in fines, in addition to the $49 million SEC fine.