Anne Hathaway's dodgy ex-boyfriend could face life in jail after his  arrest on fraud charges.

The FBI caught up with Italian businessman Raffaello Follieri - who was allegedly going around claiming to be the chief financial officer of the Vatican - on Tuesday in New York.

After his arraignment, a judge set Follieri's bail at a whopping $21m.

If he is found guilty of all charges against him – that's six counts of wire fraud, five counts of money laundering and one count of conspiracy to commit wire fraud – Follieri could be looking at life behind bars.

FBI sources tell TMZ that Follieri also "tested positive" for opiates during a routine drug test.

Although Anne – whose split from Follieri became public knowledge only last week – was not in court for the arraignment, she is believed to have been interviewed by the Feds.

Follieri is due back on 9 July for a pre-trial hearing.