Telecom tycoon quits over insider trading
published : 17 Sep 2019 at 15:43
Telecom tycoon Pete Bodharamik has tendered his resignation as chief executive and director of telecom operator Jasmine International Plc (JAS) and its affiliated Mono Technology Plc in the wake of the Securities and Exchange Commission’s (SEC) decision to impose a civil sanction against him for insider trading.
On Monday, the SEC stated it fined Mr Pete 32.65 million baht as a civil sanction and ordered him to repay a profit of 26.12 million baht that came from a transaction involving insider trading of SET-listed Jasmine Telecom System Plc (JTS).
JAS holds 32.8% of the shares in JTS.
According to the SEC’s statement, Mr Pete is deemed to lack the trustworthiness required to hold any executive and director positions in a listed company.
On Tuesday JAS informed the Stock Exchange of Thailand (SET) that the firm received a resignation letter from Mr Pete based on good corporate governance principles, although he has not yet received any orders from the SEC. The resignation takes effect from Tuesday.
JAS stated it will hold a board of directors’ meeting to consider an appointment for the vacant positions.
“The company believes the matter will not have any negative effect on the financial status and operating results of the company and its subsidiaries, nor the implementation of its business plan,” the JAS statement read.
Mono, whose major shareholder is Mr Pete, also notified the SET about Mr Pete’s resignation, which takes effect on Tuesday.
JAS shares fell from a closing price of 6.55 baht on Monday to 6.25 baht when the morning trading session ended at around 12.30pm, a drop of 4.58%.
Shares of MONO remained unchanged at 1.47 baht.