MINSK: Belarus has placed the chief executive of Russian potash giant Uralkali under house arrest, moving him from the prison where he had been held since his controversial arrest in August, his lawyer said Thursday.
Vladislav Baumgertner was moved to house arrest in a rented apartment in Minsk "under the surveillance of agents from the KGB" Belarussian security service, his lawyer Dmitry Goryachko told AFP.
He said that the transfer from the KGB-run detention centre to the flat took place overnight and Baumgertner's mother was being allowed to visit her son in the rented flat.
Baumgertner's arrest on suspicion of devising a scheme to enrich himself and other Uralkali executives at the expense of the Belarussian state was slammed by Moscow and risked harming ties between the two ex-Soviet allies.
His move to house arrest comes ahead of a expected visit to Belarus in the next days by President Vladimir Putin, who is to observe joint military exercises with his Belarussian counterpart Alexander Lukashenko.
Russia's Prosecutor General Yury Chaika also visited Minsk for talks earlier this week.
Belarussian investigators have also charged Suleiman Kerimov, a Russian billionaire tycoon and owner of the Anzhi Makhachkala football club, in the probe.
The arrest of Baumgertner came after Uralkali, one of the world's largest potash producers with a share of about 20 percent of global production, stunned markets by pulling out of a joint venture with the Belarus state potash firm.
The arrest of Baumgertner surprised observers, given that the regime of Lukashenko is hugely dependent on cheap energy imports from Russia and Russian credits to keep its economy afloat.
The mercurial Lukashenko has needled Russia on occasion with his sometimes maverick behaviour.
But observers believe the Kremlin prefers him to a pro-Western figure who could steer Minsk toward the European Union.
Lukashenko faced protests after his controversial re-election in 2010 and a severe economic crisis afterwards but largely remains unchallenged at the helm of Belarus.
Potash is highly sought-after in fast-growing emerging economies as the fertiliser can be used to dramatically increase crop yields.
Uralkali announced Tuesday that a Chinese state investment vehicle has taken a 12.5-percent stake in the company. (AFP)