The BBC reports that a series of complaints claimed that Samsung hired students to post negative comments about Taiwan-headquartered HTC on the internet.
Samsung said that the ‘unfortunate accident’ was against the company’s ‘fundamental policies’.
If found guilty of ‘false advertising’, the South Korean company and its local subsidiary could be hit with fines of up to 25m Taiwanese dollars (£547,000).
Samsung was fined earlier this year by Taiwanese authorities for an advert that misled consumers about the camera on the Galaxy Y Duo.