Spokesman: Ex-Argentine president arrested

BUENOS AIRES, Argentina (CNN) -- Former Argentine President Carlos Menem was arrested Thursday in connection with an illegal arms sales investigation, said a spokesman for Menem's brother, Eduardo Menem, an Argentine senator.

Menem is accused of heading an organization that illegally sold rifles and artillery to Ecuador and Croatia between 1991 and 1995.

He has repeatedly denied any wrongdoing, saying the sales were done "absolutely legally" and claiming he was the victim of "political persecution."

Judge Jorge Urso ordered the arrest at a hearing for Menem, who was Argentina's president from 1989 to 1999.

VIDEO Menem arrives to a large media crowd at court earlier in the day to testify in the illegal arms sales investigation (June 7) Play video (QuickTime, Real or Windows Media)

Menem's former defense minister, Erman Gonzalez, along with his former brother-in-law and adviser, Emir Yoma, also have been detained in connection with the investigation.

Menem, who served two consecutive terms that ended in December 1999, closed out his presidency amid swirling accusations of rampant corruption in his administration, according to The Associated Press.

During his term, Menem transformed the economy with free-market reforms that included toppling trade barriers and selling off hundreds of state companies while stabilizing the currency, the AP reported.

Since leaving office, Menem has served as leader of his Peronist Party and talked openly about his desire to run for the presidency again in 2003, according to the AP.