British police arrest Russian tycoon in London

The Associated Press

LONDON -- British police said Tuesday they have arrested Russian tycoon Boris Berezovsky at the request of Russian authorities who are investigating him for alleged fraud.

An extradition request charges that Berezovsky defrauded the administration of Russia's Samara region while director of a company called LogoVaz between Jan. 1 1994 and Dec. 31 1995.

The Metropolitan Police said officers arrested Berezovsky in London early Monday. A LogoVaz associate, Yuli Dubov, was also arrested Monday, police said.

Berezovsky and Dubov were released on bail, pending an appearance at Bow Street Magistrates Court on April 2.

"Both were charged on the extradition warrant issued by Bow Street Magistrates' Court following a request for assistance from Russian Authorities investigating allegations of a fraud," said a statement from the Metropolitan Police.

"The charge alleges that between Jan. 1, 1994, and Dec. 31, 1995, they defrauded the Administration of Samara Region of 60 billion rubles whilst being directors of Logovaz," it added.

In December 1995, 60 billion rubles was worth some $13 million.

A Moscow court last October issued an arrest warrant for Berezovsky, Dubov and another associate in connection with the theft of cars from Russia's largest carmaker AvtoVaz.

LogoVaz was the official dealer for AvtoVaz and later functioned as the holding company for a range of Berezovsky investments. Dubov was general director of LogoVaz.

Berezovsky, an influential member of former Russian President Boris Yeltsin's circle, was emblematic of the politically connected group of so-called oligarchs who amassed huge wealth after the collapse of the Soviet Union.

However, Putin's government targeted Berezovsky in its anti-corruption campaign, and the tycoon became a bitter critic of the Russian leader. Berezovsky says the efforts to prosecute him are motivated by his criticism, and have forced his self-imposed exile in Britain.