MOSCOW  - A top Russian space industry official has been stripped of his post as the chief overseeing the construction of a satellite nativation system, after reports of an embezzlement probe, Russian news agencies reported Sunday.

"The military-industrial government commission has decided to relieve Yuri Urlichich of his functions as head constructor of the GLONASS system," said the spokesman for Deputy Prime Minister Dmitry Rogozin, who is in charge of the space sector.

The announcement came two days after Russian media revealed that some 162 million euros in public funds have been embezzled from the construction of the GLONASS satellite navigation system. The head of the Russian presidential administration Sergei Ivanov said in an interview that he first heard of the graft allegations in 2010.