Securities and Exchange Commission seeks lawsuit for insider trading

Securities and Exchange Commission seeks lawsuit for insider trading

The Securities and Exchange Commission (SEC) is requesting a lawsuit against six individuals for insider trading of PTG Energy shares and filed complaints with the Anti-Money Laundering Office (Amlo) against the accused.

The regulator requested the prosecutor take the case against the six defendants to civil court for selling PTG shares based on company insider information. It called for a total payment of 68.4 million baht plus interest.

The six alleged offenders are: Chatkaew Gajaseni, Lapat-orn Gajaseni, Sahadchai Gajaseni, Khemmapope Gajaseni, Kotchakorn Phiboonthammasak and Tharathon Phiboonthammasak.

"These individuals are accused of selling PTG stock having known or possessed inside information, insider disclosures or assisting with the actions," the SEC said in a statement.

In addition to the fines of 68.4 million baht with interest, the defendants would be barred from trading of securities or futures contracts for a certain period of time, the statement added.

The regulator filed the complaint with Amlo for a further probe under its authority against the accused.

According to the SEC, its settlement committee earlier stipulated that civil fines of 51.5 million baht be paid by the defendants after an investigation determined they broke the law. The committee also moved to prohibit them from being a director or executive in securities issuing companies or securities companies for a period of 12-31 months.

The six individuals refused to comply with the civil sanctions, causing the SEC to request a prosecutor indict them in civil court to determine civil sanctions.

In a related development, the SEC held a seminar about class action help to educate investors about tools when they face unfair treatment from big market players.

Thawatchai Pittayasophon, acting secretary-general of the SEC, said the regulator aims to increase investor knowledge and understanding of class action procedures as "a tool to protect investors from concrete damages".

Rongrak Phanapavudhikul, senior executive vice-president and head of legal affairs at the Stock Exchange of Thailand, said class action is one mechanism to help remedy the impact on shareholders. The bourse will promote knowledge and understanding of class action to strengthen the market, he said.

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