John Galliano arrested, suspended from Dior

John Galliano has been suspended indefinitely from Christian Dior following his arrest in Paris on Thursday.

The fashion designer was taken into custody after becoming involved in an altercation with a couple at a bar in the Marais district after they apparently mistook him for a homeless person.

Galliano then allegedly used racial slurs against the couple, with Europe 1 radio quoting him as saying: "Dirty Jewish face, you should be dead," and: "F**king Asian b**tard, I will kill you."

The AP reports that he was later released and that charges in the case have yet to be filed.

However, the incident may have permanently cost him his position at legendary fashion house Dior, with label boss Sidney Toledano saying in a statement on Friday: "The House of Dior declares with the greatest firmness its policy of zero tolerance with regard to any anti-Semitic or racist statement or attitude.

"Pending the outcome of the enquiry, Christian Dior has suspended John Galliano from all duties."

Galliano's lawyer has denied that his client used any anti-Semitic remarks.