Following an inspection report from KTB and the SEC’s further investigation, it was found that during the period from January 2022 to March 2025, Mrs. Walailak committed misconduct involving the misappropriation of assets belonging to 11 clients, with a total value of THB 19,316,457. The misconduct comprised the following: (1) failing to invest the money of 11 clients in accordance with their intentions and using the money for her personal benefit; and (2) withdrawing money from clients’ accounts without the clients’ knowledge and against their intentions for her personal benefit, including causing clients to mistakenly believe that they were required to withdraw their fixed deposits before maturity in order to renew the deposits. After the clients signed the fixed deposit withdrawal forms and entrusted her to proceed, she withdrew the money using substitute passbook slips, resulting in the passbooks not showing the withdrawal transactions, and then used the clients’ money for her personal benefit.

In carrying out the foregoing acts, Mrs. Walailak prepared or modified documents to present information that was inconsistent with the facts, thereby concealing the misconduct and causing clients to mistakenly believe that investments had actually been made, returns had been received, and the full balances remained in their deposit accounts. After the bank discovered the misconduct, she admitted the wrongdoing to the bank, and the bank has fully reimbursed the clients.

The SEC considered that Mrs. Walailak’s conduct, as described in item (1), constituted a failure to perform her duties or provide services with honesty and good faith, by misappropriating investor assets, while the conduct described in item (2) constituted conduct suggestive of dishonesty that has had a significant adverse impact on the credibility required of capital market business personnel. Both types of conduct are deemed the prohibited characteristics of capital market business personnel under the Notification of the Capital Market Supervisory Board*. Accordingly, the SEC has revoked Mrs. Walailak’s approval as an investment consultant for Complex Products Type 2** for a period of 10 years. However, as her approval as an investment consultant for Complex Products Type 2 had already expired on 31 December 2025, the SEC imposed a 10-year period during which any future application by Mrs. Walailak for approval as capital market business personnel will not be accepted for consideration, effective from 14 July 2026***.

In determining the sanction period, the SEC took into account several factors, including the individual’s relevant roles and conduct; any penalties already imposed; the extent of damages or benefits resulting from the actions; any corrective measures or other actions that either support or hinder the SEC’s proceedings; and records or past conduct indicating unsuitability to serve as personnel in capital market businesses. 

The SEC emphasizes that investors should regularly review their unitholding statements and bank accounts. If investors identify any trading transactions or cash withdrawals that they did not authorize, they should immediately reject or raise an objection to such transactions. In addition, investors are advised not to entrust investment consultants with important transaction-related documents, such as withdrawal forms, copies of identification cards, or bank passbooks, or to sign and hand over such documents to them to enable investment consultants to conduct transactions on their behalf, in order to prevent potential losses that may arise from fraudulent activities.

Notes:
* This constitutes a failure to comply with Clause 23(1), which falls within the prohibited characteristics of personnel in the capital market business under Clause 31(1), and also constitutes a prohibited characteristic under Clause 31(3) of the Notification of the Capital Market Supervisory Board No. Tor Lor Thor. 8/2557 Re: Rules on Personnel in the Capital Market Business dated 3 June 2014, as amended by the Notification of the Capital Market Supervisory Board No. Tor Lor Thor. 48/2560 Re: Rules on Personnel in the Capital Market Business (No. 7) dated 30 August 2017.

** Investment Consultant for Complex Products Type 2 is allowed to provide investment advice on all types of non-complex capital market products, as well as complex or high-risk debt instruments or investment units, such as investment units of mutual funds offered to institutional or ultra-high net worth investors, investment units of mutual funds with investment in derivatives, hybrid securities, and structured notes.

*** Any applications submitted by Mrs. Walailak for SEC approval to be personnel in the capital market business during the 10-year period, starting from 14 July 2026, will not be accepted.