A British court has charged a Nigerian governor with three counts of laundering $3.2 million.

The governor of Nigeria's southern Bayelsa state pleaded not guilty and was ordered to remain in custody. He will appear again on October 6.

He was arrested in London earlier this month.

British police later found nearly $2 million in cash in his home in London.

Nigerian President Olusegun Obasanjo has welcomed the prosecution of the governor, saying it shows that efforts to crackdown on high-level corruption are working.

But ethnic Ijaw supporters of the governor have threatened to launch attacks against British citizens and oil installations if he is not released.

Some information for this report provided by Reuters and AFP.