Officers discovered the GPS device and traced its location signal being sent to a phone at a home in Soi Saturday, in the Saiyuan area of Rawai, police reported.
An arrest warrant was issued and the foreign man was taken into custody last night (Feb 9). police confirmed.
Involved in the arrest were officers from Royal Thai Police Crime Suppression Division and Royal Thai Armed Forces personnel, police said.
No other details of the arrest have been released.
Police reported they are still waiting for results on DNA tests conducted on items of clothing believed to have been discarded by the men wanted for the slaying of Jimi Sandhu.
National police chief Gen Suwat Jangyodsuk is expected to arrive in Phuket again today for further updates in the investigation.
Gen Suwat was in Phuket on Monday (Feb 7), mostly to defend how Sandhu was allowed to enter the country on what has since been confirmed by Canadian authorities to have been a genuine passport issued by presenting false information.
Meanwhile, 20 teams of officers are continuing their search for the killers, retracing their escape through the Saiyuan area of Rawai and by checking CCTV footage from the area.