Those arrested are Anord Chingwa, Moses Sakunda and Mwebela Kabembele.
Council Assistant Public Relations Manager Esther Chirwa said the three have been arrested for building of houses and moulding of blocks within the cemetery.
The three suspects are currently being held in Police custody awaiting court appearance.
Ms. Chirwa said the three were arrested following investigations by the Council on illegal activities at the grave yard.
She said all those arrested had no documentation from the council to support their activities.