The family of a banker kidnapped at gunpoint by a gang during a shoot-out with police in Georgia have said they are anxiously waiting for news.

Abgrobiznesbank project director Peter Shaw, 57, from south Wales, was dragged from his car near his home in the capital Tbisli at 1930 Tuesday by a group expected to demand a ransom fee.

Georgian President Eduard Shevardnadze said he was "outraged to the very depths of my soul" and has ordered the country's law enforcement agencies to urgently track down the businessman.

Facts: Peter Shaw

From: Maesteg Lives: Cowbridge Previously: Midland Bank manager Currently: EC Tacis project, Georgia Kidnapped: 18 June

Meanwhile back at home in Cowbridge and Maesteg, Mr Shaw's three children, who are in contact with the UK Foreign Office, are anxiously awaiting news of his whereabouts.

He was helping run the bank under a European Commission-sponsored development programme in the region and had just a day left on his contract.

He was kidnapped hours before he had planned to fly home to the UK on Thursday, family members said.

Snatched from street

Georgia's interior minister, Koba Narchemashvili, confirmed the incident Wednesday.

He said an armed group dressed in fake security uniform demanded Mr Shaw follow their car, but genuine police officers turned up as he began to resist their moves.

President Eduard Shevardnadze demanded swift action

But then, a third car carrying men in camouflage pulled up and opened fire on the officers with automatic weapons, leaving the gang to snatch the key businessman off the street.

EC external relations commissioner Chris Patten called on Georgian authorities to pursue the attackers "with the utmost rigour and urgency."

He called on the government to protect foreigners working in the country, as security services, the EC and the UK Foreign Office made the incident a priority.

Kidnap danger

Mr Shaw's three children Lisa, 30, Rhodri, 29, and Philip, 26, said the abductee was a "strong character and can handle himself in dangerous situations."

Former wife Mair said: "I have spoken to him often on the phone since he began working in Georgia and he has mentioned the dangers of kidnapping several times.

"But he was on a big salary and he thought it was worth taking the chance.

"He was really looking forward to coming home. He had finished his six-year contract and was anticipating putting his feet up and taking it easy.

"He can look after himself. I'm just hoping he wil be released soon, safe and sound."

Homeward bound

Twice divorced, Mr Shaw - originally from Maesteg - took early retirement as a Midland Bank manager six years ago, then worked at in Azerbaijan and Hungary.

He had been in Georgie since 1996 and was appointed team leader in 1999, said an EC spokeswoman for the Tacis, which gives loans to the agriculture sector.

He was due back at London's Heathrow airport just two days after his capture.

A police spokesman said the stolen car used in the abudction had already been found at Dighomi on the outskirts of Tbilisi.

They have drawn up a list of suspects and were taking steps to trace the kidnappers and Mr Shaw. Police believe they may demand a ransom.

Abduction clues

President Shevardnadze said: "The abduction of people has turned into a fad in Georgia which must be wiped out once and for all.

In December, two Spanish businessmen were freed after more than a year in captivity following their capture in neighbouring Chechnya.

News agencies said the US Government had already launched a $64m plan to train the Georgian military in combating terrorist bases on the countries' border.

Speaking on the Rustavi-2 television channel, state prosecutor-general Nugzar Gabrichidze speculated Mr Shaw's kidnapping could be linked to a 1m euro Abgrobiznesbank deal discussed in Brussels this week.