No. 36 / 2014
Wednesday 19 March 2014
Bangkok, March 19, 2014 – The SEC revealed that the Settlement Committee imposed a fine of 500,000 baht on Sumit Chanmatee for using inside information to purchase Rayong Purifier Plc. (RPC) shares for his own benefit.
With the referral from the Stock Exchange of Thailand, the SEC’s probe found that during November 9-22, 2012, Sumit purchased 1,786,100 RPC shares based on the company positive non-public information material to RPC share price. The purchases were made through trading accounts of his son in which Sumit was an authorized person. In late 2012, Sumit learned of the information concerning RPC investment plan in significant portion of common shares issued by Sammakorn Plc. (SAMCO). The transaction would turn the fate of RPC amidst a crisis causing cease of its core business operation at that time; given that it would support the company to extend business collaboration and widen its property development opportunity. In addition, RPC would obtain dividend payment from SAMCO and benefit from realization of investment in associated company by equity method.
Sumit’s action was deemed as using inside information in such a way as to take advantage of other persons in violation of Section 241 of the Securities and Exchange Act B.E. 2535 (1992). The Settlement Committee therefore fined him 500,000 baht.