The bodies of four Western hostages, whose heads were found in Chechnya earlier this month, are reported to have been found on the outskirts of the capital Grozny.

The three Britons and a New Zealander were beheaded after a rescue attempt went wrong.

So far there's been no independent confirmation that their bodies have been found.

Another hostage - a Russian police officer, kidnapped in June for a large ransom - was released today in exchange for a Chechen prisoner in Russia.

His release was negotiated by the governor of the Siberian region of Krasnoyarsk, Alexander Lebed, who helped negotiate the end of Chechnya's war for independence from Russia.

Correspondent say more than a hundred Russian and foreign hostages are believed to be still held in Chechnya.