Earlier, the Civil Sanction Consideration Committee resolved to apply civil sanctions on Mr. Suphanan, an IFEC director and chief executive officer, and Mr. Thanawat Chansuwan, who was IFEC director and executive at the time of the offence, on the ground of insider trading. They were ordered to pay civil fines and return any gains from the offence.*

Mr. Suphanan, however, sent a letter asking to postpone the acknowledgment and the agreement to pay the civil fine by 30 days (to 3 October 2018), citing a busy schedule. But the SEC did not allow the postponement on the ground that it was not necessary nor reasonable to grant an extension; and determined that Mr. Suphanan has consistently acted in an obstructive manner and made no effort to solve IFEC problems since the start of the crisis at IFEC. He has also failed to carry out his duty for the benefit of IFEC and its shareholders. There have been many complaints against Mr. Suphanan, alleging that his behaviors have damaged both IFEC and its subsidiaries.

The SEC is also suspicious of an IFEC creditor that has filed a business rehabilitation plan with the Central Bankruptcy Court and has asked for Mr. Suphanan to be a temporary administrator and planner. This move could be considered an attempt to delay IFEC business operations to continue being under the management team led by Mr. Suphanan, instead of setting up a shareholders' meeting to select new directors to run the business and try to solve IFEC problems urgently for the benefits of shareholders and the company.

By failing to acknowledge the civil sanctions imposed by the Civil Sanction Consideration Committee by the time given, the SEC took the view that Mr. Suphanan did not consent to bring an end to the case at the SEC level. The SEC has therefore sent a letter to the prosecutor to file a lawsuit against Mr. Suphanan in the Civil Court to press for civil sanctions with the highest legal penalty. Mr. Suphanan is ordered to pay a civil fine and the benefits of his wrongdoings, which total 31.93 million baht. The SEC has also reported the proceedings to the Anti-Money Laundering Office for further consideration.

In addition, the SEC has ordered the dismissal of Mr. Suphanan from his positions as director and executive of IFEC and  barred him from serving as a director or executive in the securities issuing company and another listed company (if any) for two years from 5 September 2018 onwards.**

Meanwhile, Mr. Thanawat acknowledged the civil sanction on 31 August 2018.

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Notes:
*SEC news release No. 98/2018, published on 23 August 2018.
**According to Clause 3 (2), Clause 5 (2) and Clause 6 (2) of the Notification of the Securities and Exchange Commission No. Kor. Jor. 3/2560 Re: Determination of Untrustworthy Characteristics of Company Directors and Executives, dated 23 January 2017, which was issued by the virtue of Section 89/3 and Section 89/6 of the Securities and Exchange Act B.E. 2535 (1992), as amended by the Securities and Exchange Act (No. 4) B.E. 2551 (2008).