Convicted conman Peter Foster has been arrested in New South Wales after being on the run for a year, the ABC understands.

Foster, 52, is well-known for his involvement in weight-loss scams, including the sale of a nasal spray called Sensaslim, and in 2005 he was banned from selling weight loss products.

In 2011, the Gold Coast man was jailed for breaching the ban, but he was released the following month.

However, in October last year, the Federal Court in Brisbane sentenced Foster to three years' jail for another breach of the ban.

Foster was ordered to serve at least 18 months of that sentence, but he did not appear for sentencing and failed to appear at a previous hearing, so a warrant was issued for his arrest.

At the time, Foster claimed via the media to be hiding in Fiji and released a photo of himself with a Fijian newspaper.

Police confirmed they had arrested a 52-year-old man at Ewingsdale, near Byron Bay on the NSW north coast, about 3:30pm (AEDT) on Tuesday.

The arrest was filmed by Channel Nine, which reported Foster had been operating another scam while in hiding from police.

Convicted conman Peter Foster, pictured on the Gold Coast in 2003. ( Getty Images: Jonathan Wood )

"It's believed the man is wanted on a number of arrest warrants," a NSW Police statement said.

"The man is currently in hospital receiving medical treatment. He is under police guard."

Police did not provide details about Foster's need for medical treatment but the ABC understands he injured himself while trying to run from police.

Foster has also been jailed in Britain and the US for various offences.

He caused a scandal for then-British prime minister Tony Blair after becoming an unofficial financial advisor to his wife, Cherie Blair, and helping her with property investments in 2002.

