South Korea ? Prosecutors on Friday arrested Hyundai Motor Co. chairman Chung Mong-koo in an embezzlement and slush fund scandal engulfing South Korea’s largest automaker, an official said.

Chung’s arrest, announced by prosecution spokesman Kang Chan-woo, came late Friday, after the Seoul District Court issued a warrant.

Prosecutors suspect the 68-year-old Chung of embezzling company funds to create a slush fund and of causing damage to the company.

Chung emerged from the Supreme Prosecutors’ Office in Seoul after his arrest. He was escorted by what appeared to be two prosecution officials, and they got into a waiting car for the journey to the Seoul Detention Center, just outside the city.

He made no comment to reporters and photographers.