Bitti is said to be arrested from Kannur in Kerala.
The case is high profile as Bitti is the son of former Odisha DGP BB Mohanty, which helped him to jump parole. Earlier, Bitti was sentenced to seven years of imprisonment for raping a 26-year-old German tourist in Alwar, Rajasthan.
But, he took advantage of his father's position when he was allowed a 15-day parole to meet his ailing mother in 2006.
Bitti jumped parole and was absconding since then.
TV reports say Bitti was living under the disguise of a man named Raghav Rajan and was working at State Bank of Travancore.
Initially police was reluctant to confirm that the arrested person was Bitti.
SP Kannur Rahul R Nair said, "Bitti's identity is yet to be ascertained. We have arrested a person by the name of Raghav Rajan. The man arrested has been held in a case of impersonation. The actual identity will be ascertained by Rajasthan Police. He was arrested after a complaint from bank officials."