The chair of a powerful United Nations budget committee was arrested by the FBI Thursday on money laundering charges, a federal law enforcement official said.

Vadim Kouznetsov, who heads the General Assembly panel that oversees the U.N. budget, was the second Russian U.N. official to be arrested by the FBI for alleged money laundering in recent weeks.

The charges were contained in a sealed grand jury indictment. Kouznetsov was to be arraigned Friday in Manhattan Federal Court.

The official, who spoke only on the condition of anonymity because the indictment is sealed, said the charges involve money laundering and are only remotely connected to the U.N. oil-for-food program in Iraq that is the target of numerous corruption investigations...