Sullivan, who resigned shortly after the $4bn (£2.5bn) WorldCom accounting fraud was exposed, was taken into custody along with former controller David Myers.
It is not yet known what the two have been charged with. According to reports Sullivan and Myers were led away in handcuffs, in exactly the same manner as Adelphia founder John Rigas was arrested.
The arrests follow investigations by federal authorities into the two executives alleged role in the $4bn (£2.5bn) accounting scandal WorldCom admitted to in June.
The company said it inflated profits by claiming operating expenses as capital spending.
Leonard Curtis Business Solutions Group has opened a new office in Glasgow – the first Scottish office for the professional services provider
Harrison Beale & Owen will (HB&O) have a new chairman and managing director at the helm for 2017
Satvir Bungar promoted to managing director in the mergers and acquisitions team
Carolyn Brown appointed as the first head of client legal services practice RSM Legal