According to Italian media outlet Giornale Di Sicilia, Cutfield was questioned for two hours while prosecutors attempted to piece together the super yachts’ final moments.
Prosecutors are expected to interview other survivors as well.
It comes as divers searching the Bayesian have found five bodies and recovered four of them, according to local authorities.
Among those bodies identified are tech mogul Mike Lynch, Clifford Chance lawyer Chris Morvillo and Morgan Stanley International chair Jonathan Bloomer, Italian newspaper La Repubblica reported.
A woman’s body had also been found. Lynch’s 18-year-old daughter Hannah, Morvillo’s wife Neda and Bloomer’s wife Judy were among those missing.
Salvo Cocina, the director-general of Sicily’s civil protection agency, confirmed that five bodies had been found but only four brought to shore. One person remained missing, he said.
Searches had finished for the day and would resume on Thursday, Cocina said.
CNN reporters saw four body bags being moved from rescue boats into ambulances at the port of Porticello, near where the boat sank, though authorities did not provide details about those inside.
Rescuers have spent days trying to reach those remaining inside the boat but have been hampered by the depth of the vessel and debris blocking passageways.
The six had been missing since the 56m yacht sank amid a freak storm off the coast of Sicily on Monday, with 22 people on board. Fifteen had been rescued and one, the boat’s chef, was killed.
Captain’s brother says he was ‘well-respected’
Cutfield’s brother Mark told the Herald his brother was a “very good sailor” and was “very well respected” in the Mediterranean.
He said he was in hospital but was not suffering from injuries “too dramatic”.
“He’s safe, he’s okay.”
Mark said they had received a call from James’ wife Cristina before the news broke so they would not worry about their brother’s life. She had flown from their home in Palma, Mallorca, to be by his side in Italy and has been updating the New Zealand family.
James had been a captain on luxury yachts for eight years and had previously been working on them and involved in building them for the past 30 years in various locations around the Mediterranean.
He said before he worked for Lynch, he had worked for a Turkish billionaire.