Russian tycoon 'fears assassination if extradited'

Boris Berezovsky, the exiled Russian tycoon, claimed in court yesterday that was in "grave danger" of being assassinated if he was extradited from Britain to Russia.

The 57-year-old magnate, who is accused of defrauding a Russian regional government of £1.2bn while the head of a car dealership, said he would vigorously contest the attempt by Russia to secure his deportation. Lawyers for Mr Berezovsky told Bow Street magistrates' court in central London that the case against him was politically motivated because of his opposition to President Vladimir Putin. To emphasise his point, the flamboyant entrepreneur, who made his fortune by striking a series of privatisation deals in the post-Communist era, left court wearing a caricature mask of the Russian leader.

Mr Berzovsky arrived in Britain three years ago claiming his attempts to expose the "authoritarianism" of the Russian regime had forced him into voluntary exile. Earlier this year, he said he was planning to finance a political coalition to unseat pro-Putin MPs in elections in December.

Alun Jones QC, for Mr Berezovsky, told the court that the case against him was a "sham". Mr Jones said: "He lives in fear of assassination by those loyal to the Russian government. His life would be in grave danger if he returned to Russia."

Speaking after the hearing at a news briefing transmitted live to journalists in Moscow, Mr Berezovsky claimed he had been told by Scotland Yard there was an active plot to take his life using Chechen mercenaries.

The tycoon, who was refused asylum in Britain last week on the orders of the Home Secretary, David Blunkett, was ordered to surrender his passport and pay a surety of £200,000 before being released on bail.

Mr Berezosky was arrested a week ago by Scotland Yard's extradition and international assistance unit on five counts of tax evasion. He appeared in court with his co-accused and a business associate, Yuli Dubov. The charges relate to a period between January 1994 and December 1995 during which it is alleged that both men defrauded the government of the Samara region in south east Russia of 60bn roubles (£1.2bn) while directors of the Logovaz car dealership. The company was set up by Mr Berezovsky in 1989 to offer Russians cars with waiting times and prices that would not have been possible during the Soviet era. The deal for thousands of Zhiguli cars was made cheaper for the tycoon by hyper-inflation of the rouble.

Mr Berezovsky established close links with Boris Yeltsin while he was President and went on to plan Mr Putin's election campaign. But he later fell out of favour with the Kremlin and has made a series of accusations against the regime.

Mr Berezovsky and Mr Dubov were bailed to reappear at Bow Street on 13 May.