Dead man dragged by garbage truck in alleged hit and run

A man has died after an alleged hit and run involving a truck in Sydney's CBD.

The body of the 21-year-old man was found bloody and battered on Central Street - a small laneway between George and Pitt streets.

Police believe the man was hit by a truck just after 1am.

Panicked onlookers attempted to resuscitate the man but he was pronounced dead after paramedics arrived to treat serious head injuries.

Witnesses told The Daily Telegraph a garbage truck had hit the man and dragged him along the road.

The victim was wearing fitness clothing.

Police have recovered CCTV footage which allegedly shows a man get out of the vehicle and move the body to the kerb before driving away.

Police arrested a 52-year-old driver man on Darlinghurst Rd, Kings Cross, about 4:30am.

He was taken to Day Street Police Station where he is assisting police with inquiries.

A crime scene remains in place and officers from the Crash Investigation Unit will attend to conduct a forensic examination.

A report will be prepared for the information of the Coroner.