MOSCOW, April 12 - RAPSI. Russian police arrested the Vice President of the Royal Bank of Scotland in Moscow Thursday on charges of having embezzeled 300 million rubles ($9.7 million), Russia's Central Federal District Interior Department announced Friday.

According to the police, Vsevolod Glukhovtsev embezzled money from a number of individuals and companies after misleading them into believing they were investing in property and construction projects in Montenegro.

To implement his schemes, Glukhovtsev is alleged to have introduced himself as an influential banker, the co-owner of a lending institution, a major financier, the co-owner of half of all casinos in Montenegro, the owner of a major hotel chain on the Adriatic coast, a specialist in Russian nationals' financial investment in foreign property and even a popular author.

The victims are then believed to have transferred the money to the accounts of Montenegrin companies controlled by Glukhovtsev, who embezzled the money. His "clients" received fake reports that they owned businesses or property outside Russia.  According to the police, his investors never received any dividends, while the assets they thought they owned were either nonexistent or assigned to third parties.  At this stage, there are known to be five victims of the schemes, but the police believe there could be many more.

The police seized documents and other evidence of Glukhovtsev's allegedly fraudulent activities during the search of his home and office. The investigators have identified a Montenegrin company of which Glukhovtsev was the founder and general director.