Pursuant to Section 89/25* of the SEA, the auditor who perform an audit in accordance with the auditing standards has the duty to report to the Audit Committee of the securities company** or the Audit Committee of the listed company if there is any suspicious circumstance that indicates that a director, manager or the person responsible for the operation of the juristic person may have committed an offense under Section 89/25*, for example, taking the assets of the juristic person with dishonest intent, obtaining unlawful gains which damages the juristic person, or altering, shortening or falsifying documents.

SEC has therefore issued regulations specifying suspicious circumstances and the procedure for obtaining facts relating to such circumstances to be in accordance with the Professional Accounting Standards, the Code of Ethics for Professional Accountants and Provisions of the Law on Professional Accountants such as the Thai Standards on Auditing (TSA) concerning the Auditor’s Responsibility to Consider Fraud in an Audit of Financial Statements as well as Consideration of Laws and Regulations in an Audit of Financial Statements. The regulations will become effective from 1 July 2021.

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* Pursuant to SECTION 89/25, in auditing a securities company or a company in accordance with the auditing standards, either as the appointed auditor of such juristic person or as a person allowed to conduct an audit work of such juristic person, if the auditor discovers any suspicious circumstance that a director, manager or any person responsible for the operation of such juristic person commits an offence under Paragraph 2 of Section 281/2, Section 305, Section 306, Section 308, Section 309, Section 310, Section 311, Section 312 or Section 313, the auditor shall inform the facts relating to such circumstance to the Audit Committee of the securities company or the company in order to continue the inspection without delay. The Audit Committee shall report the result of the preliminary inspection to the SEC Office and the auditor within thirty days. In cases where the Audit Committee fails to comply, the auditor shall report the matter to the SEC Office. The suspicious circumstances that must be reported and the procedure for obtaining facts relating to such circumstances shall be in accordance with the Notification of the Capital Market Supervisory Board. 

** Securities company means any company, or financial institution licensed to undertake securities business under the Securities and Exchange Act B.E. 2535 (1992) (SEA).