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An explosion at an annual festival in Thailand killed 3 people and injured scores more. Getty Images | Christopher Furlong

Two teenagers were arrested by authorities in Thailand following a blast at an annual festival near the border with Myanmar in an attack against a "rival gangster" that killed three people and wounded dozens more, according to reports.

Thousands were celebrating Friday night at the Red Cross Doi Loyfa fair when a grenade was tossed near the dance stage, unleashing chaos as people scrambled for safety, the Bangkok Post reported, citing the police.

Two teenagers, aged 16 and 17, were arrested, the publication said.

Two people were killed instantly in the explosion, and another person died later at the hospital. At least 48 people were injured.

One of the suspects arrested belonged to a rebel group, the Karen National Union, fighting for autonomy in Myanmar, Al Jazeera reported.

Police said one of the suspects threw the bomb after running into a "rival gangster" he had previously fought with, the report said.

The Thai national, identified as Jorithu, who had previous arrests for drug offenses, admitted to carrying a shoulder bag containing the explosive to attack a rival gang, the Bangkok Post reported.

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