Panamanian prosecutors filed formal charges against three people arrested last week in connection with the murder of two Spanish businessmen, an official spokesperson told Efe.

Jose Antonio Perdomo, 57, and Miguel Untiedt, 47, a German-born Spanish citizen, were found dead last Thursday at the younger man's country home east of the Caribbean coastal city of Colon.

Two of the three suspects picked up shortly after the discovery of the bodies refused to give statements, while the third is cooperating with investigators, the spokesperson said.

Both victims had been shot in the head, chest and arms, chief medical examiner Humberto Mas said last weekend.

The investigation continues, but authorities suggest the men were murdered by poachers who wanted revenge after some of Untiedt's employees killed their hunting dogs.

Within hours of the discovery of the bodies, Panamanian authorities informed Spanish Ambassador Jesus Silva Fernandez that three suspects had been arrested.

Panama's president, Ricardo Martinelli, also contacted Silva to assure him the killers would be found.

Perdomo and Untiedt hailed from Spain's Canary Islands, but the latter had been traveling back and forth to Panama for 15 years and had effectively made the home near Colon his primary residence, Spanish diplomats told Efe. EFE