Anne Hathaway and Raffaello Follieri by Larry Busacca/ WireImage.com Anne Hathaway and Raffaello Follieri by Larry Busacca/ WireImage.com

After a year in which her boyfriend was under legal investigation multiple times, Anne Hathaway may have seen the writing on the wall when she broke up with Raffaello Follieri last weekend. The Italian businessman was arraigned Tuesday for wire fraud and money laundering.

Follieri's bail has been set at $21 million (!). Once th cash is posted, he'll be on house arrest. His next court date is July 9.

According to the AP, Follieri allegedly falsely told an investor that he managed the Vatican's financial affairs, promising he'd be able to sell Catholic Church properties on U.S. soil at a major discount.

Hathaway was definitely Smart to distance herself, but this is a tough way to see an ex go. - Anna Dimond