The fire that destroyed the Fungalele Shops and adjacent businesses along the Neiafu waterfront yesterday afternoon is being treated as the work of arsonists, according to Deputy Police Commander, Taniela Fatelau.

He confirmed this afternoon that "three youth" were arrested this morning and were held in custody while police were making further inquiries.

Taniela said that they had two eye witnesses who saw a group of youth running away from the burning buildings yesterday, including the three who had been arrested today.

Meanwhile, a source who did not want to be named, told the Matangi Tonga that the three youths arrested were children thought to be aged about eight or nine years old, who were allegedly trying to collect honey by smoking wild bees from hives at the back of the buildings. But this allegation has not been confirmed by the police.

The Fungalele was one of the few remaining old commercial buildings in the Neiafu business centre and was constructed well before the Second World War.

The Fungalele property belongs to the O. G. Sanft family, and Carl Sanft who administers the Sanft commercial enterprises was surprised with the news of the fire, because he was in Vava'u only last week, "making plans for the renovation of the property."