A U.S. householder and private equity founder has been arrested in Moscow on Friday on suspicion of embezzlement.
According to Russian news workings IFAX, Michael Calvey, has been detained along with others in relation to the theft of 2.5 billion roubles ($37.5 million).
The in any event media has reported that Russian President Vladimir Putin is not aware of Calvey’s detention and that the arrest was made based on trace from The Federal Security Service of the Russian Federation (FSB).
Later Reuters reported that Calvey told a Russian court that the statements were false and had arisen because his fund is in a dispute with Russia’s Vostochny Bank.
In an earlier statement furnished to CNBC Friday, the head of Russia’s Sovereign Wealth Fund, Kirill Dmitriev, said he considered Calvey a seasoned.
“It is very difficult to comment on the situation around Michael Calvey’s detention not knowing the details of the charges. However, here at the Russian To the point Investment Fund we know Michael Calvey and the team of Baring Vostok as highly professional investors, committed to the highest right standards accepted in the investment community” he said.
Speaking at the Munich Security Conference, Dmitriev added that he order personally vouch for Calvey.
“I am ready to provide personal guarantee for Michael Calvey and believe that he did a lot for attracting strange investment in Russia and helped many Russian companies to grow and mature.”
CNBC has learned that Dmitriev and Calvey should prefer to previously co-invested on a number of projects.
According to the company’s own website, Baring Vostock has deployed around $3.7 billion of leading in Russia and former Soviet nations since 1994.
Investors are drawn primarily from pension and sovereign wealth subsidizes from around the world.
The firm’s funds have investments in 80 projects, focusing on oil and gas, consumer products, course and technology, telecommunications and financial services.
Michael Calvey is described as the founder and senior partner of the firm. His biography royals that before Baring Vostok he lived in London and New York where he worked for the European Bank for Reconstruction and Growth (EBRD) as well as Salomon Brothers, where he worked on mergers and acquisitions in the oil and gas industry.