Bangkok, 8 August 2023 – The SEC has revealed the imposition of civil sanctions on two offenders, namely (1) Miss Laksana Supsakorn and (2) Mr. Sommart Dhupchinda for purchasing shares of the Tipco Foods Public Company Limited (TIPCO) using inside information known or in possession. The two offenders are required to pay a total fine of 4,970,880 baht and are prohibited from serving as directors or executives for a specified period.

With the facts and evidence found following the case referral from the Stock Exchange of Thailand (SET) and the SEC ‘s investigation, it was presumed that Laksana, TIPCO’s Chairperson of the Board and Authorized Director and Director of the Tipco Asphalt Public Company Limited (TASCO), having known an inside information that has positive impact on TIPCO share price, i.e., the company’s announcement of interim dividend (No. 2) and annual dividend of the year 2020 amounting to 0.69 baht per share, the highest dividend payment the company made in five years, had made use of such information for purchasing, in collusion with Sommart, TIPCO shares through Sommart’s account before TIPCO reported such information to the SET on 18 February 2021.

The action of Laksana and Sommart in this case is deemed a contravention of Section 242(1) of the Securities and Exchange Act B.E.2535 (1992) (SEA) in conjunction with Section 83 of the Penal Code which is subject to the sanctions under Sections 296 and 296/2 of the SEA.

The Civil Sanction Committee (CSC) has resolved to impose civil sanctions on those two offenders, comprising a civil fine, a compensation in the amount equal to the benefit received or is entitled to be received, a reimbursement of investigative expenses incurred by the SEC, and a bar from serving as directors or executives in securities issuing companies or securities companies for a specified period, with the following details.
          (1) Laksana shall pay a civil fine, a compensation in the amount equal to the benefit received or is entitled to be received, a reimbursement of investigative expenses incurred by the SEC totaling 2,485,440 baht and shall be barred from serving as a director or executive for a period of 14 months.
          (2) Sommart shall pay a civil fine, a compensation in the amount equal to the benefit received or is entitled to be received, a reimbursement of investigative expenses incurred by the SEC totaling 2,485,440 baht and shall be barred from serving as a director or executive for a period of 12 months.

The suspension period for the offenders serving as directors or executives will commence on the date when the offenders sign letters of consent, agreeing to comply with the civil sanctions imposed by the CSC. Otherwise, the SEC will submit the case to the public prosecutor for filing a lawsuit in the Civil Court to seek an imposition of sanctions with the applicable statutory maximum penalties, which shall not be lower than the penalties specified by the CSC.

In all cases, the civil fines and the compensation for the benefits received or should have been received from committing the offenses shall be remitted to the Ministry of Finance as public revenue.

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Remark: * Section 317/1 of the SEA B.E.2535 (1992) as amended by the SEA (No.5) B.E.2559 (2016) prescribes that the criminal offenses under this Section shall be deemed the offenses whereby civil sanctions may be imposed on the offenders.

Details of civil sanctions and associated procedures are available at:  https://www.sec.or.th/EN/pages/lawandregulations/civilpenalty.aspx