His appearance in court follows arrest by Austrian police after a secret operation by the United Nations war crimes tribunal.

Bosnian Serb leaders have already reacted angrily to news of his seizure. Bosnian Serb Prime Minister Milorad Dodik said the action was "incomprehensible" and his government was seeking an explanation.

The BBC's James Robbins reports: "The indictment links him directly with crimes against humanity"

General Talic was arrested in Vienna during a conference on reducing tension in Bosnia.

He was indicted on war crimes charges in March, but the move was kept secret to help obtain his arrest. His arrest came at a coffee break when he was persuaded to leave the meeting then suddenly confronted by Austrian plainclothes police officers.

A spokesman for the conference hosts, the Organisation for Security and Cooperation in Europe (OSCE), later denied the organisation knew of the arrest beforehand.

He said the incident could be potentially damaging to the organisation's short-term operations in the Balkan region.

General Talic pictured earlier this year

General Talic is accused of crimes against Muslims and Croats in the Prijedor and Sanski Most regions during the Bosnian war in 1992 and could face life imprisonment if convicted.

American delight

The BBC's Jacky Rowland: ''He is one of the most senior suspects to be arrested on war crimes charges''

Bosnian Serb Vice-President Mirko Sarovic reacted with "bitterness" and said the conference in Vienna where General Talic was arrested had been "abused".

"The act of the arrest, for us as the (Bosnian Serb) Republic, was humiliating," he was reported as saying.

But the United States welcomed the arrest on Wednesday. White House spokesman Joe Lockhart said the United States would continue its efforts to bring indicted war criminals to court.

"We and our allies have been very aggressive about pursuing those who have been indicted on war crimes, and we will continue to be," he said.

Off to the Hague

General Talic is expected to appear before an Austrian court before being transported to the Hague.

Radislav Brdjanin was arrested last month

Austrian police seized him at around 1000 GMT in Vienna's National Defence Academy on Wednesday, where the seminar was taking place.

UN chief war crimes prosecutor Louise Arbour said she had sent an arrest warrant to the Austrian authorities after learning that General Talic planned to make the trip to Vienna.

Secrecy creates doubt

General Talic is the highest-ranking officer from the former Yugoslavia to be arrested on war crimes charges.

Given the nature of the secret indictment, many former and serving officials from the former Yugoslavia may now think twice before leaving their country.

It is alleged that General Talic ordered and implemented a plan to expel Bosnian Muslims, Bosnian Croats and other non-Serbs from parts of north-western Bosnia in 1992.

Not guilty plea

A Bosnian Serb former deputy prime minister, Radislav Brdjanin, is also named in the indictment.

He was arrested in Bosnia on 6 July and has pleaded not guilty to charges of persecutions on political, racial or religious grounds.

The war crimes tribunal alleges that the two men commanded Serb forces who forced thousands of Muslims and Croats out of their homes, with hundreds killed in the ethnic purge.

General Talic was appointed to his position as army chief-of-staff in February 1998.