Millionaire oil tycoon and banker John Deuss was yesterday granted $10 million bail after his lawyer told a magistrate he would voluntarily travel with Police to the Netherlands for questioning about suspected money laundering.

Two Dutch detectives investigating an elaborate tax scam known as carousel fraud are due to arrive on the Island tonight in the hope of accompanying the 64-year-old back to his home country tomorrow. Mr. Deuss, of Shore Lane, Tucker?s Town, appeared at Magistrates? Court yesterday afternoon for a two-hour hearing after spending three nights in custody at Hamilton Police Station.

A warrant for his arrest was granted by a Bermudian magistrate on September 29 after an application from Government lawyers acting to assist UK and Dutch authorities who want him extradited to Holland.

Police visited his home and previous addresses without success and eventually issued an appeal to the public to help track him down. He was arrested on Friday afternoon after being found in a property normally used to accommodate the pilots who fly his private jets.

Mr. Deuss is wanted for questioning in Holland about habitual or deliberate laundering, handling of stolen property and being in charge of a criminal organisation.

Detectives there suspect that his Caribbean-based business, First Cura?ao International Bank (FCIB), the biggest shareholder in Bermuda Commercial Bank (BCB), has been used by traders to stash hundreds of millions of dollars in illegal tax gains.

Former Premier Sir John Swan and businessman Ward Young, both close friends of the former BCB chairman, agreed in court to stand surety of $5 million each, in addition to the $10 million from Mr. Deuss.

Senior Magistrate Archibald Warner granted bail after Mr. Deuss? lawyer originally suggested ? unusually ? that he remain in Police cells until a second Magistrates? Court hearing tomorrow.

Jai Pachai, for Mr. Deuss, said a plan had been discussed with Government attorneys which would see his client depart to Europe ?on a voluntary basis? with the two Dutch Police officers after the proceedings.

?In the interim, we would like him to stay at the Hamilton Police Station,? he said, adding that it would remove the need for bail arguments to be heard.

But Mr. Warner said he had to consider whether Mr. Deuss, who denies any wrongdoing, was entitled to bail and pressed both sides to give arguments for and against.

Mr. Pachai said his client had lived in Bermuda for more than 30 years and had never been accused of or convicted of a crime here.

He added that he had not given himself up to Police on the advice of his lawyers who believed there was no extradition treaty between Bermuda and the Netherlands. ?He is not charged with any criminal offence in the Netherlands but is simply wanted for questioning,? said Mr. Pachai. ?He has already been willing to travel to the Netherlands for this purpose.

?He is going to come here on Wednesday and follow a certain course of action. That action is consistent with his feelings from day one.?

Crown counsel Paula Tyndale, who opposed bail on behalf of the Government, asked for the matter to be adjourned until tomorrow.

Both sides will then seek to fast-track the usual extradition process ? which can take months ? to allow Mr. Deuss to leave the Island.

Yesterday morning, Mr. Deuss? lawyers lost an attempt in Supreme Court to overthrow the magistrate?s decision to grant the warrant.

They argued that it was unlawful but Acting Chief Justice Norma Wade-Miller ruled it was legitimate because a treaty does exist between the two countries.

Sir John told yesterday that he visited Mr. Deuss in his cell over the weekend and found him in good spirits.

?He is a strong man,? he said. ?He feels that Bermuda is doing what it has to do based upon the request from the British Government. He bears no malice to Bermuda.?

He added: ?My hope is that he will be vindicated. He has not been charged with anything.?

Mr. Young, chairman of BDC Ltd, said: ?He is a good friend of mine. He?d do the same for me.?

Mr. Deuss must report to Hamilton Police Station today between 6 a.m. and 6 p.m.