A French businessman wanted for questioning in relation to an inquiry into the alleged illegal financing of Nicolas Sarkozy’s 2007 presidential election run by the late Libyan dictator Muammar Gaddafi has been granted £1m bail by the high court in London.

French police are seeking to extradite Alexandre Djouhri to Paris, where he has been evading a summons for questioning on his connections with Sarkozy.

Djouhri, who is resident in Switzerland, was arrested on Sunday by the Metropolitan police at Heathrow airport on a European arrest warrant issued by the French in December.

UK government lawyers failed on Wednesday to convince the judge, Emma Arbuthnot, that Djouhri might try to flee, given his huge personal wealth, multiple overseas links and dual Algerian-French nationality.

The court ordered him to provide a £1m bail and stay at his daughter’s flat pending further extradition hearings.

– By Patrick Wintour, The Guardian