Former Prime Minister Silvio Berlusconi confirmed in remarks published Saturday that he faced a new corruption investigation but denied any wrongdoing.

"I have been aware (of the probe) for a while now," the media magnate was quoted as saying in La Repubblica newspaper."It is a matter which is completely foreign to me, which does not even involve my business group and has no basis in reality," he added.

The statement followed media reports Friday that Rome magistrates had advised Berlusconi and former Finance Minister Rino Formica that they were being investigated. Formica has also denied any wrongdoing.

The two are alleged to have struck a deal in 1990 under which Formica heeded a request by Berlusconi to exclude four-wheel drive vehicles from an increased value added tax on luxury goods.

Berlusconi is alleged to have made the request on behalf of industrialist Luigi Koelliker.

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Berlusconi, who resigned as prime minister in December, was placed under investigation last November over payments by his Fininvest business empire, which magistrates allege were used to bribe finance police in return for lenient tax audits.

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