Bangkok, August 15, 2011 – The Settlement Committee imposed a fine on Phaibul Chalermsaphayakorn, Pongchalerm Chalermsaphayakorn, and Chaiwat Cruecha-em for using undisclosed information they had obtained by virtue of their positions to sell shares and warrants of Unique Mining Services Plc. (UMS) and also imposed a fine on Patra Chalermsaphayakorn as an aider. The Settlement Committee imposed a respective fine of B5,363,120.64, B1,296,010.44, B3,723,416.40 and B333,333.33 on Paiboon, Pongsachalerm, Chaiwat, and Patara.
Following the referral from the Stock Exchange of Thailand (SET), the SEC investigation revealed that Phaibul while served as UMS Chairman and executive director, Pongsachalerm as director and executive director and Chaiwat as managing director and executive director, had sold UMS shares and warrants (UMS-W1) by using the company’s then undisclosed information concerning its operating performance for Q4/2008, in which the company posted substantial decrease in net profit due to allowance for diminution in value of inventories, before such information became public on 25 February 2009. Patra had assisted Phaibul and Pongchalerm in selling such securities through her own account. Details are as follows:
• Phaibul sold UMS shares during January 16-29, 2009 and February 13-23, 2009 and sold UMS-W1 during February 13-17, 2009.
• Pongsachalerm sold UMS-W1 on February 17, 2009 through his own account and sold UMS shares and UMS-W1 during February 13-23, 2009 through Patra’s account.
• Chaiwat had sold UMS shares during January 29- February 19, 2008 through his own account.
Phaibul, Pongsachalerm and Chaiwat’s actions were deemed using inside information to gain unfair benefits over other persons in contravention of Section 241 of the Securities and Exchange Act of 1992 and thus liable to penalties under Section 296 of the said Act. Patra, as their aider, is subject to penalties under Section 296 of the Act in conjunction with Section 86 of the Criminal Code.
Phaibul, Pongsachalerm, Chaiwat, and Patra agreed to enter the settlement procedure. The Settlement Committee, therefore, imposed a fine of B5,363,120.64, B1,296,010.44, B3,723,416.40 and B333,333.33 on the four of them, respectively.