According to a referral from the Stock Exchange of Thailand (SET) and the SEC’s further investigation, the findings revealed commission of offenses by the three individuals, as follows: Mr. Chanin (STARK Chairman at the time), Mr. Sathar (STARK Director, Chief Financial Officer and Company Secretary at the time), and Miss Yosabavorn, jointly used inside information that negatively affected the share price of STARK to sell the shares in the securities trading account of Miss Yosabavorn in February 2023 before STARK disclosed the said facts to the SET. It was also revealed that the trading funds in her trading account was related to Mr. Chanin and Mr. Sathar.

The inside information jointly misused by the three individuals concerned the auditor’s observations of circumstances giving rise to suspicion of financial statement manipulation, which led to STARK’s inability to submit its 2022 annual financial statements within the prescribed timeframe. Such information had a material negative impact on the price or value of the company’s securities and constituted inside information beyond the public’s anticipation. 

The actions of Mr. Chanin, Mr. Sathar and Miss Yosabavorn constitute violations under Section 242, which carries penalties under Section 296 and Section 296/2 of the Securities and Exchange Act B.E. 2535 (1992) (SEA), in conjunction with Section 83 of the Criminal Code. The SEC has therefore filed a criminal complaint with the DSI against the three individuals for further legal action. The SEC has also informed the AMLO of the SEC legal proceedings under the SEA since these violations constitute a predicate offense under the Anti-Money Laundering Act, as amended.

In any case, following criminal complaints filed by the SEC, the criminal enforcement process will proceed with an investigation by the inquiry official, a prosecution of the public prosecutor, and an adjudication of the court of justice, respectively. The SEC will monitor progresses in the legal proceedings and will cooperate fully with relevant agencies to support legal enforcement under the SEA after the criminal complaints have been filed.  

In the STARK case, the SEC is conducting an expanded investigation, with several matters having made considerable progress. Once clear findings are obtained, further updates will be communicated accordingly.