BEIRUT- Lebanon has ordered the release of a businessman linked to allegations of covert Libyan funding for former French President Nicolas Sarkozy's 2007 election campaign, state news agency NNA said.

The public prosecutor's decision on Monday also imposed a travel ban on Ziad Takieddine, a French-Lebanese national who was detained in Beirut last week based on an Interpol request, it said.

French prosecutors are investigating allegations that Libya's late former leader Muammar Gaddafi provided Sarkozy's successful run for the presidency with millions of euros shipped to Paris in suitcases. Sarkozy denies this. 

(Reporting by Beirut bureau, Editing by William Maclean) ((Ellen.Francis@thomsonreuters.com;))