WikiLeaks' founder Assange arrested in London
The 39-year-old Australian was held when he attended a central London police station by appointment.
He is now expected to appear before a district judge at City of Westminster Magistrates' Court later today.
A Metropolitan Police spokesman said: "Officers from the Metropolitan Police Extradition Unit have this morning arrested Julian Assange on behalf of the Swedish authorities on suspicion of rape.
"Julian Assange, 39, was arrested on a European Arrest Warrant by appointment at a London police station at 9.30am.
"He is accused by the Swedish authorities of one count of unlawful coercion, two counts of sexual molestation and one count of rape, all alleged to have been committed in August 2010.
"Assange is due to appear at City of Westminster Magistrates' Court today."
Police contacted Mr Stephens last night after receiving a fresh European Arrest Warrant from the Swedish authorities.
The first warrant, issued last month, was not valid as officials had failed to fill in the form properly.
Detectives in Sweden want to question Mr Assange after two women claimed they were sexually assaulted when he visited the country in August.
Solicitor Mark Stephens said his client was keen to discover what allegations he was facing so he could clear his name.
He said: "It's about time we got to the end of the day and we got some truth, justice and rule of law.
"Julian Assange has been the one in hot pursuit to vindicate himself to clear his good name.
"He has been trying to meet with her (the Swedish prosecutor) to find out what the allegations are he has to face and also the evidence against him, which he still hasn't seen."
Meanwhile, PostFinance, the financial arm of the Swiss post office, said it had closed Mr Assange's account after he provided "false information".
The bank said he falsely claimed to live in Geneva and people who do not live in Switzerland cannot hold accounts. WikiLeaks used the account for donations.
The sex case is Mr Assange's most pressing legal issue, but may not be his last as several countries chew over the impact of his diplomatic cable disclosures.
He has come under growing pressure after his WikiLeaks site started publishing excerpts from a cache of 250,000 secret messages.
Former US vice-presidential candidate Sarah Palin has described him as "an anti-American operative with blood on his hands".
Senior Republican Mike Huckabee said that "anything less than execution is too kind a penalty".
WikiLeaks was forced to move to a Swiss host after being dumped by US internet companies as it comes under siege from a series of cyber attacks.
Meanwhile, all Government departments have been asked by national security adviser Sir Peter Ricketts to review their computer security.
A spokesman for City of Westminster Magistrates' Court said Mr Assange must appear before 12.30pm, unless a judge gives special permission for a later hearing.
He said: "We do not know what is happening at the moment. We have not been told. 12.30pm is the cut-off time.
"If they cannot produce him before then, we will have to wait for a decision from the judge, whether he or she gives permission."
Mr Assange was mobbed by photographers as he arrived at court with Mr Stephens and the rest of his legal team.
He is due to appear before District Judge Caroline Tubbs in court one at 2pm, court staff said.
Speaking outside court, Mr Stephens said his client is "fine".
Asked about the meeting with police, he replied: "It was very cordial. They have verified his identity.
"They are satisfied he is the real Julian Assange and we are ready to go into court."
A WikiLeaks spokesman said the arrest will not disrupt the release of further leaked cables tonight.
Speaking via Twitter, he said: "Today's actions against our editor-in-chief Julian Assange won't affect our operations: we will release more cables tonight as normal."
Supporters of Mr Assange were told to protest against censorship outside the Horseferry Road court house on several websites.
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