One of the richest men in Israel has been arrested on suspicion of having been at the centre of an international money-laundering operation, linked to diamond and mineral mining in Africa and allegations of fraud in European countries.

Beny Steinmetz, the reclusive mining and real estate magnate, was remanded at the Peace Court in Rishon LeZion on Sunday, and his arrest warrant has been extended by four days by the judge on the basis of a secret report presented by the Israeli police.

Mr Steinmetz was previously arrested eight months ago on suspicion of bribing senior officials in Guinea, where he had extensive business dealings. That case, which is still ongoing, led to a wider investigation into allegations of money laundering. Mr Steinmetz has since been forbidden from leaving Israel.

Mr Steinmetz was arrested this time with four associates who are suspected of having collaborated with him. One of them is Tal Silberstein, a former strategic advisor to Israeli prime ministers and currently a consultant to political parties in other countries including Austria’s ruling social democratic party.

In addition to the Israeli police's probe, the suspects have been the target of investigations by law enforcement agencies in the United States, Switzerland and Romania.