BANGKOK, Thailand -
Two top executives for Samsung Electronics subsidiary in Thailand were arrested Friday on complaints of fraud, police said.
Park Kwang-kee, managing director of Thai Samsung Electronics Co. Ltd., and Kim Chung-jun, the company's general manager, were arrested in Bangkok and turned over to the police's economic and cyber crime division.
Police Lt. Col. Phuthorn Pritsanananthakul said two Thai companies had filed fraud charges against the two executives.
One, Sam Corp., filed a criminal complaint alleging losses of $1.9 million because of fraud by Samsung, he said.
Another company, Triple A Prompt, filed a civil suit against Samsung last week, demanding compensation of $17.3 million, he said.
Kim, allowed to speak to reporters at a news conference at the economic and cyber crime division, denied the allegations and said they were the result of a business dispute.
"We are restructuring our strategy in order to better serve the Thai market," he said. "During this restructuring, maybe some of our business partners lose some benefits."
He said the matter was under investigation and was expected to be resolved soon in court.
"We are very sure that we will win the case," he said. It was not immediately known whether he and Park would be granted bail.
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