UPDATE 1-Owner of Israel's Rami Levy supermarket chain detained by police

(Adds police statement, stock reaction)

JERUSALEM, Sept 10 (Reuters) - The owner and chief executive of Israel's Rami Levy supermarket chain was detained by police on Sunday on suspicion of fraud and breach of trust as part of a broader investigation that is not directly connected with the company.

The retail chain is controlled by high-profile businessman Rami Levy, who owns 45 percent.

The company said in a statement to the Tel Aviv Stock Exchange that the police investigation focused on a "private asset owned by the company's controlling shareholder and another person" which is not part of the supermarket chain.

Rami Levy, with a market value of 2.5 billion shekels ($712 million), is one of Israel's largest supermarket chains. Its shares were down 7.4 percent in the early afternoon after a temporary halt in trading earlier in the session.

Police said a total of four suspects were detained on Sunday as part of an investigation focusing on alleged corruption between a local municipality, a small newspaper and owners of a shopping mall.

Police declined to comment further.

($1 = 3.5095 shekels) (Reporting by Ari Rabinovitch and Steven Scheer; Editing by Mark Potter)