Police Tuesday arrested Saudi arms dealer Adnan Khashoggi on a warrant issued by a U.S.

judge in a racketeering case involving Ferdinand and Imelda Marcos, the Justice Ministry announced.A ministry statement said Khashoggi was charged with "illegal property dealings" including with real estate owned by the former Philippines president and his wife and valuable paintings that disappeared from Manila's Metropolitan Museum after Marcos went into exile in February 1986.

Khashoggi was arrested at a Bern hotel and taken to the district jail in downtown Bern, police said.

Known as the world's richest man, Khashoggi became part of the Utah business scene when he swept into Salt Lake in April 1975 to break ground for the Salt Lake International Center. He also developed the 35-floor Triad Center office tower and touted investments in Utah totaling $300 million.

Khashoggi's son, Mohamed, attended the University of Utah. And in the early 1980s Khashoggi sat on the U.'s National Advisory Council. He also promised a $1.2 million donation toward an international educational center at LDS Hospital, a financial commitment that was never completely fulfilled.

But on Jan. 28, 1987, Khashoggi's Triad America Co. filed for bankruptcy, throwing into question the uncompleted Triad Center development and the millions he owed to Utah investors.

The reputed broker of the arms deal at the heart of the Iran-Contra scandal was indicted in October in New York on racketeering and other charges in a case centering on the Marcos' alleged theft of $103 million from the Philippines treasury to buy art and real estate in New York City.

Khashoggi, 54, who has lived in Paris, is accused of submitting a false document to French officials who were seeking evidence at the request of U.S. investigators.

He also posed as the owner of valuable paintings and New York property secretly held by the Marcoses, prosecutors have said.

The Swiss Justice Ministry statement said a warrant for his arrest was issued March 24.

Under the terms of a U.S.-Swiss extradition treaty, U.S. authorities will have to formally request Khashoggi's extradition within the next 60 days.

Khashoggi has 10 days to file an appeal and request his release, the announcement said. The Federal Tribunal, Switzerland's supreme court, would have the final say if he fights an extradition order.