"A lookout notice has been issued against Reddy... he will be apprehended when he tries to enter the country," Central Crime Branch Assistant Commissioner of Police S.M. Nagraj told .
Reddy is suspected to have fled to Dubai, after sensing that police might arrest him any moment.
A city-based businessman from the city, Reddy owned the Ballari Tuskers team till 2018 which is currently owned by his relatives and sister.
Though Reddy was questioned earlier, police let him off for lack of solid evidence in his involvement in the scam.
However, the arrest of C.M. Gautam and Abrar Kazi of Bellary Tuskers produced new leads towards Reddy, officials said.
Earlier, police also arrested Belagavi Panthers team owner Asfaq Ali Thara in the betting case.
The central crime branch questioned other players as well, including K.C. Cariappa, who played the Indian Premier League (IPL) for Kolkata Knight Riders and also KPL for Bijapur Bulls team.
However, police made arrest only when was there was credible evidence against the players, letting off the others, officials said.
Meanwhile, police produced Sayyam, a Haryana-based cricket bookie in connection with an old (KPL) betting case on Saturday for the second time.
A local court remanded Sayyam in nine days' police custody, for his role in the J.P. Nagar case, related to the KPL betting scam on Monday.
The KSCA runs the KPL T-20 tournament every year on the lines of the popular Indian Premier League (IPL) T-20 tournament by the cash-rich Board of Control for Cricket in India (BCCI).
The KPL tournament for 2019 was held from August 16-31.
The KPL has seven teams representing prominent cities and towns across the southern state, including Bengaluru Blasters, Bellary Tuskers, Bijapur Bulls, Hubli Tigers, Mysuru Warriors and Namma Shivamogga squad.
( With inputs from IANS )