CONMAN Peter Foster is in custody in Port Vila after being arrested by Vanuatu and Australian Federal Police yesterday morning.

He has not been charged with any offences but is expected to face a count of illegally entering the country. 

Authorities in four countries had been searching for the 44-year-old since he disappeared from military custody in Fiji last week.

A Pacific-wide alert was issued for him on Thursday after the AFP said they had information that he was seen swimming ashore from a yacht in Vanuatu on January 8. They said he had left Suva on board the boat on January 5.

Arrested with Foster were two Australian expatriates who were with him at the time. The couple, long-time residents of Vanuatu, are likely to face charges of harbouring an illegal alien. 

Foster had consistently maintained that he was still in Fiji but in hiding because the military had apparently reneged on a deal he did with Commodore Voreqe Bainimarama to help uncover corruption in the ousted government.

He was awaiting trial on three charges relating to allegedly having used a forged Queensland Police Service criminal history to obtain a Fiji work permit. 

On Thursday, Australian police revealed that acting on a written request from the police commissioner of the Federated States of Micronesia, they were investigating Foster over allegedly defrauding a bank of $US580,000 ($F971,384) in a land title scam.

It is believed he is likely to be extradited to Australia to face questioning over this once he is dealt with by the Vanuatu courts. 

Two Australian lawyers have now been charged with immigration and firearms offences and their ex-Australian Navy minesweeper has been seized on suspicion they smuggled Foster out of Fiji.

The two, and an Australian man and woman, were arrested on Tuesday after arriving in Port Vila in their converted dive and salvage boat, the Retriever 1, preparing to look for sunken wrecks in Vanuatu waters. It is likely they will now face additional charges related to smuggling Foster into the country.