Mr Cavallo was detained after being questioned in court in Buenos Aires.
Last year, the former president, Carlos Menem, spent almost six months under house arrest in connection with the same case.
La Nacion newspaper reported on its web site that the alleged offences happened when Mr Cavallo served under Mr Menem.
Mr Cavallo was being t
- Is Donald Trump undermining the Fed’s independence?
- Regulation could stabilise crypto asset market, experts argue
- Reserves preservation key in Tunisia amid growing challenges – El Abassi
- People: San Fran Fed appoints head of research
- China’s exchange rate poses major challenge to fairer trade – US Treasury