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. Last Updated: 07/27/2016

Peru Scandal Has Russia Arms Link

ZURICH, Switzerland — Swiss authorities shed new light Tuesday on the scandal surrounding Peru’s former spy chief, saying they suspected that most of the funds frozen in Swiss bank accounts came from arms deals with Russia.

"Much of the $48 million blocked in Swiss bank accounts linked to the former Peruvian secret service leader, Vladimiro Montesinos, very likely originates from payments of commissions connected to arms transactions between Russia and Peru," a statement said.

The statement from the Zurich district attorney’s office said investigators had tracked down — and frozen — an additional $22 million in funds flowing from Russian-Peruvian arms deals.

Switzerland announced Nov. 3 that it had opened a money-laundering investigation against Montesinos and frozen accounts.

Montesinos, who is Peru’s top fugitive, was said by many to be the real power behind former President Alberto Fujimori for years, with control over the military and the judiciary.