Uncapped bowlers Ankeet Chavan and Ajit Chandila were the other hermes bags two players suspended from the ongoing domestic Twenty20 competition.
"The three players... stand suspended pending enquiry. All information required to bring the persons involved to book will be collected and strictest action will be taken, if found guilty," a statement by the sports authorities said.
Sreesanth, 30, was arrested by Delhi police in Mumbai along with his Rajasthan Royal teammates and the trio were being brought to the national capital for questioning, a police source told AFP.
The India paceman was arrested at a friend's house while his teammates were taken into custody at a hotel after returning from a match Wednesday night against the Mumbai Indians.
The Rajasthan Royals franchise said in a statement they would co-operate fully with police in the investigation.
"We are completely taken by surprise... we will fully cooperate with the authoriti