The Correction Department says Dishman was serving a 7-year sentence for theft of property and burglary convictions in Benton and Washington counties when he escaped on May 28, 1985.
Dishman was taken into custody by local law enforcement officials and the Arkansas State Police.
Steven Dishman, 60, was an inmate of the Cummings Unit in Arkansas who was originally sentenced to seven years in prison for theft of property and burglary in December 1984.
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Steven Dishman, 60, was arrested Sunday at his home in Arkansas after escaping from prison and 32 years ago.
On Sunday, Arkansas Police captured another inmate, Joel W. Lane, 39, who escaped from a work release program in Pine Bluff.
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Special agents of the Arkansas State Police Criminal Investigation Division have begun to question individuals who may have known Dishman but by a different name, according to Arkansas State Police. Had Dishman stayed in jail, he would have been eligible for parole in 1987 and freed by 1991.
Four prisoners in the state remained at large as of Sunday after escaping from facilities on various dates between July 5, 1988, and Tuesday, according to department records.
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