Nakuru Town West MP has denied seven corruption charges before Nairobi chief magistrate Douglas Ogoti.
Arama denied charges of conspiracy to defraud, uttering a false document, false pretence and misleading detectives from the Ethics and Anti-Corruption Commission.
The legislator was also charged with alleged fraudulent acquisition of property worth Sh60 million.
He was charged alongside his co-accused Kennedy Onkoba, who also denied the charges.
DPP Noordin Haji had earlier stated that the legislator would face abuse of office charges, conspiracy to defraud, making a document without authority and uttering a document with intent to deceive.
Other charges were knowingly misleading an investigator and obtaining registration of land by false pretence.
Some 15 detectives from the Ethics and Anti Corruption Commission (EACC) arrested the legislator at about 9pm on Friday along Kanu Street in Nakuru before he was taken to Railways police station where he spent the whole weekend before he was transferred to Nairobi.
The MP will spend the night at Kileleshwa police station as he await ruling tomorrow on whether he will be given bond.
Ruling will be issued on Tuesday on whether the legislator will be granted bond.