Ero was reportedly arrested in France since last month for being in possession of $2m.
He was said to have being detained and queried by INTERPOL.
Political opponents claimed the money was given to him by Governor Godwin Obaseki as he was accompanying the Governor to a foreign trip.
Another source said the Commissioner was being questioned for an offence he committed seven years ago.
A top government official, who pleaded anonymity, said the state government was aware of the questioning of Osemwingie-Ero by INTEPOL for a offence committed before he was appointed by Governor Obaseki.
On the sum of $2m found on the Commissioner, the source said it was yet to be confirmed whether any money was found on him.
But the Edo State Government, in its reaction, said the alleged arrest of Osemwingie-Ero has nothing to do with Governor Obaseki.
Special Adviser to the Edo State Governor Obaseki on Media and Communication Strategy, Mr. Crusoe Osagie, said the state government could not confirm the alleged arrest of the commissioner.
According to him: “We learnt about the alleged arrest of the Arts, Culture, Tourism and Diaspora Commissioner, Hon. Osaze Osemwingie-Ero from unreliable sources on social media and we are unable to confirm either the alleged arrest or what might have led to it.
“But we can confirm without equivocation that whatever the issues might be, they are totally personal and have nothing whatsoever to do with the Edo State Government or Governor Godwin Obaseki.”