TAIPEI - A TAIWAN court early on Tuesday reversed its previous decision and placed former president Chen Shui-bian back in custody pending his trial on corruption charges, his lawyer said.

A panel of three judges at the Taipei District Court made their decision following a 12-hour hearing, during which Chen and his lawyers battled prosecutors' attempts to return him to custody for further investigation, the TVBS cable news network reported.

The judges said in their ruling Chen had to be detained as he could collude with other suspects, destroy evidence and flee the island if released, it said.

One of Chen's lawyers Cheng Wen-lung described the ruling as 'unfair' and vowed to appeal.

'The ruling is not a surprise, because apparently it is the result of politics intervening in justice,' the lawyer said.

Chen, along with his wife, has been charged with embezzling government funds and fraud as well as money laundering.

'My client wanted me to thank those who are concerned about him, and he also said he would keep striving to prove his innocence,' the lawyer said.

Chen was later taken under tight security to Tucheng Detention Centre outside the capital Taipei.

The former president was taken into custody in November and charged with embezzling and money laundering - the first time a former leader of the island has faced criminal prosecution.

He was released on December 13 pending trial. Since then, Chen and his lawyers have battled state prosecutors' attempts to get him back into custody.

On December 17, the high court endorsed the prosecutors' appeal and ordered the district court to reconsider its decision. However, the lower court stuck to its guns.

The high court on Sunday again overruled the decision to release Chen after prosecutors appealed for a second time on December 24.

Chen faces life in prison if convicted on all counts. In total, 13 other people have been charged in connection with the case, including Chen's wife, son and daughter-in-law. Chen and his relatives insist they are innocent.

The 58-year-old politician rose to power eight years ago pledging to fight corruption. He left office in May after serving the maximum two four-year terms.

Chen has repeatedly said the charges against him are politically motivated, accusing the China-friendly government of his successor, President Ma Ying-jeou, of leading a witch-hunt. -- AFP