Karabatic, 28, is considered one of the greatest players of the game and won gold medals with the French team at London 2012 and in the 2008 Games in Beijing.
The Montpellier left-back was picked up by police on Sunday evening at the end of a match in Paris, along with four other players and several officials and their friends.
The investigation centres on betting made during a match between Montpellier and a team from Brittany in May.
Montpellier, who have dominated French handball for the last 15 years, lost 31-28 to Cesson-Sevigne.
At the time, Montpellier were already guaranteed a 13th league title in 15 seasons, while the Breton club were in eighth place in the league.