SINGAPORE, March 13 (Reuters) - Singapore prosecutors

told a court on Thursday that a case in which Singapore-based

firms have been accused of fraudulently supplying U.S. servers

to Malaysia involves transactions worth $390 million.

Three men have been charged with committing fraud against

Dell and Super Micro by falsely representing

where the servers would end up.

Singapore media have linked the case to the possible

transfer of Nvidia's ( NVDA ) artificial intelligence chips to

Chinese AI firm DeepSeek.

The United States is investigating if DeepSeek, whose AI

model's performance rocked the tech world in January, has been

using banned U.S. chips.

Singapore authorities have said the servers may have

contained Nvidia ( NVDA ) chips but did not say whether the chips were

the high-end semiconductors that are subject to U.S. export

controls.

Asked about the potential link to DeepSeek, Law and Home

Affairs Minister K Shanmugam said last week that he did not want

to speculate.

The three suspects are Singaporeans Aaron Woon, 41, and Alan

Wei, 49, and Chinese national Li Ming, 51.

Prosecutors said on Thursday they believe Wei paid himself

dividends amounting to tens of millions of dollars while Woon

received a bonus of millions.

Asked about the charges, Shashi Nathan, the lawyer for

Wei, said he wants to see proof from prosecutors of the value of

Wei's alleged fraudulent transactions.

Li's lawyer declined to comment and Woon's lawyer did not

immediately respond to a request for comment.

The case is part of a wider police investigation in

Singapore of 22 individuals and companies suspected of false

representation. Six other people were arrested.

Prosecutors also said on Thursday that police are

investigating whether other suppliers are involved in similar

cases.

Malaysia is also investigating if its laws were breached.

The men will appear in court again on May 2.