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He was nabbed by the Special Operations Group of the Jammu & Kashmir Police from the Gandhi Nagar area, they said.
A case under relevant sections of the law was registered and further investigation is on, the officials said.
According to preliminary investigation, the officials said, the arrested person had reportedly shared videos of vital installations, including places of worship, with his Pakistani handlers.
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Mohd Mushtaq, alias Gungi, had snatched the weapon from a person in the Miran Sahib area recently and had gone underground, a police official said.
The stolen pistol was recovered as well, he said.
“The arrested person is a notorious criminal and was facing charges in many cases at different police stations, ranging from theft, rape, smuggling of bovine animals and narcotics,” the official said.