Kim Yoon-kyu, president of Hyundai Asan, claimed Monday that Samsung Group, the world's largest chipmaker, had plans to set up an electronics complex in North Korea, but the group was swift to deny Kim's statement.

A Samsung official said that at present, we are unable to make an investment in North Korea.

The official said Samsung's basic stance is that it would study large-scale investment in the North after Pyongyang completely guarantees investment and allows free communications, passage and use of currency.

Samsung's immediate response to the Hyundai Asan leader's assertion is apparently intended to block rumors that Samsung or Hyundai Motor might take over inter-Korean projects from financially-strapped Hyundai Asan, the main operator of the projects in the communist country.

Kim became the virtual leader of Hyundai's projects in North Korea after Hyundai Asan Chairman Chung Mong-hun stunned the nation with his suicide a week ago.