Rahat was held for carrying foreign currency worth Rs. 60 lakh.
The singer was intercepted by officials of the Directorate of Revenue Intelligence (DRI) on the basis of prior information.
Confirming the development, S Dutt Majumdar, chairman of the Central Board of Excise and Customs (CBEC) told NDTV that Khan was on his way to Dubai.
An event manager was also arrested alongwith Khan.
The popular singer, who has crooned several Bollywood chartbusters, had flown from Karachi toDelhi.
Khan, the 37-year-old nephew of Pakistani singing legend Ustad Nusrat Fateh Ali Khan was earlier too involved in a controversy, when organisers of a concert in Gurgaon filed a police complaint against him in July last year for his failure to turn up for a show.
Khan has several hit numbers to his credit and had won the Filmfare Award for Best Male Playback Singer this year for 'Dil To Bachcha Hai Ji' from the movie 'Ishqiya'.
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