SET rebounds on PM’s case dismissal
- Published: 4/04/2013 at 04:07 PM
- Online news:
The Stock Exchange of Thailand main index rebounded on Thursday afternoon after the National Anti-Corruption Commission cleared Prime Minister Yingluck Shinawatra of a charge she had concealed a loan transaction in making her declaration of assets and liabilities on taking office.
Prime Minister Yingluck Shinawatra (Photo by Thiti Wannamontha)
The case concerns Ms Yingluck's report on a 30-million-baht loan to Ad Index, a company in which her husband Anusorn Amornchat was a shareholder, before she became prime minister.
The transaction details in the report were allegedly inconsistent with the assets and liabilities declaration to the NACC.
A sub-committee was set up to investigate the alleged concealment of the loan transaction. Ms Yingluck submitted a statement to the panel providing an explanation.
NACC member Klanarong Chanthik said in a statement on Thursday that the sub-committee had completed the probe and found that the 30-million-baht loan did exist, but Ms Yingluck had not done anything to conceal it or to show a false declaration of assets and liabilities to the anti-graft agency.
Mr Klanarong said the NACC at its meeting on Thursday acknowledged the sub-committee's report and decided to dismiss the case against the prime minister.
Following the NACC's decision, Ms Yingluck said she was relieved and ready to get on with her work.
As reports of the NACC's decision emerged the local bourse rallied, staying above the 1,500 points level as investors welcomed the "positive" news.
The SET index plunged 38.04 points, or 2.50%, on Wednesday's close, to stand at 1,482.48 points at the start of Thursday's trading. The trade value was 3.02 billion baht.
The bourse closed midday at 1,496.27, down 24.25, or 1.59%, in trade worth 28.34 billion baht. At 2.45pm, the index rebounded to stand at 1,505.06 points, down 15.46 points, or 1.02%, with a total trade value of 38.85 billion baht.
At 5pm, the main index returned to green figures to stand at 1,528.46, up 7.94, or 0.52%. The trade value was 60.92 billion baht.
The dismissal of the loan concealment case against Ms Yingluck, coupled with the Bank of Thailand's comment that there would be no need for property price controls, "removed major concerns that have hung over the stock market for the past few weeks”, Athaporn Arayasantiparb, head of research at UOB Kay Hian Securities (Thailand) Pcl in Bangkok, said by phone on Thursday.
“The market may make a big rebound this week.”
Pruksa Real Estate Plc (PS), the nation’s second-biggest residential property developer, jumped 5.7%, reversing a 2.9% slide at the trading break. Quality Houses Plc (QH) gained 3.1%, rallying from a 2.1% loss. SC Asset Corp (SC), controlled by Ms Yingluck’s family, jumped 4.2% after dropping 3.3%.
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