Police are appealing for information following an incident that occurred in commercial premises in the Spencer Road area of Derry.
The incident happened on the evening of Wednesday 16 March but details are only emerging now.
At approximately 7.55pm, police received a report that a man had entered a bar and threatened another man. It is reported that the man pulled out a knife before he left and got into a blue car as a passenger.
No-one was injured in the incident.
Just after 8.20pm, police arrested a 42 year old man and a 21 year old man in the Manorwood area on suspicion of possession of an offensive weapon.
The 21 year old man was also arrested on suspicion of obstructing police. A knife was found in the car that they were in and it was seized. The two men were later released on police bail pending further enquiries.
Any witnesses to this incident are asked to contact police at Strand Road Police Station on the non-emergency number 101.