Arrests made as part of investigation into collapse of Kaupthing

High profile property magnates Vincent and Robert Tchenguiz have been arrested in London as part of an investigation into the collapse of Icelandic investment bank, Kaupthing.

Officers from the City of London police arrested the men with cooperation from the Serious Fraud Office (SFO).

The SFO said in a statement that seven men were arrested in London after a co-ordinated series of raids.

Vincent Tchenguiz’s Mayfair offices were raided at 6.30 this morning. Two business premises and eight residential properties were searched as part of the operation.

In Reykjavik, two residential properties were searched and two men were arrested.

Robert Tchenguiz had racked up loans of £1.4bn with Kaupthing and was their biggest client.