Real Madrid midfielder Luka Modric has appeared as a key witness at a corruption trial, testifying about his financial deals with a former Dinamo Zagreb director charged with tax evasion and embezzlement.

Modric, who is not a suspect, spoke on Tuesday at Osijek County Court about financial details of his 2008 transfer from Dinamo to Tottenham.

Modric says he had a deal with former Dinamo director Zdravko Mamic to pay the club 50 per cent of the transfer.

Real Madrid midfielder Luka Modric arrives at Osijek County Court on Tuesday afternoon

Zdravko Mamic was vice-president of the Croatian Football Federation until July 2016

He says the 2008 transfer to Tottenham was worth 'between' £18.5 million and £20million.

The Croatian authorities have accused Zdravko Mamic, his brother Zoran Mamic who managed the club from 2005 to 2007, former club director Damir Vrbanovic and a tax administration employee Milan Pernar.

The quartet are accused of embezzling £10.5million of the club's money since 2008 and not paying £1.4million in taxes.

Modric played in Croatia's 1-0 World Cup qualifying defeat to Iceland on Sunday evening

Modric made 128 appearances for Dinamo Zagreb before joining Tottenham in 2008

Zdravko Mamic was Dinamo's executive president and the vice president of the Croatian Football Federation until July 2016.

Liverpool defender Dejan Lovren will testify on Wednesday to discuss his £8million transfer from Dinamo to Lyon in 2010.

Both Modric and Lovren started for Croatia as they lost 1-0 to Iceland in World Cup qualifying on Sunday.