Sheikh Rashid, the former interior minister and leader of the Awami Muslim League (AML), was reportedly arrested from his residence in Rawalpindi on Sunday evening.
His arrest has been confirmed by his lawyer, Sardar Abdul Razzaq, who stated that Rashid has been taken to an undisclosed location.
Sheikh Rashid, a political ally of the Pakistan Tehreek-e-Insaf (PTI), had been in hiding since the events of May 9 when PTI workers and supporters had gone berserk.
Razzaq disclosed that plainclothes individuals, along with personnel of the Rawalpindi police, conducted the arrest at Rashid's residence in a local housing society.
Additionally, Rashid's nephew Shakir and a servant named Imran were also taken into custody, he added.
Advocate Sardar Razzaq emphasised that no legal case had been registered against Sheikh Rashid in the province of Punjab.
Following Rashid's arrest, his nephew, Sheikh Rashid Shafiq, released a video message claiming that his uncle had been apprehended by the Punjab police from Bahria Town Phase III in Rawalpindi, and his current whereabouts remained unknown.
Shafiq stated that both the Islamabad and Punjab police had officially stated in writing to the high courts that Sheikh Rashid was not wanted in any case.
He appealed to the higher courts to investigate the arrest and determine his uncle's whereabouts, asserting their commitment to pursuing a legal course of action based on the politics of principles.