Bangkok, 5 September 2017 ? The SEC has filed a criminal complaint against Mr. Wichai Thavornwattanayong, Chairman of the Board of Directors of Inter Far East Energy Corporation Public Company Limited (IFEC), with the Economic Crime Suppression Division of the Royal Thai Police (ECD) for committing dishonest acts to gain unfair advantage for himself or other persons. 

During the month of December 2016, the number of IFEC directors was insufficient to form a quorum as required by law. Wichai, in his role as Chairman of the Board of Directors, called for shareholders? meetings to seek the shareholders? resolution for election of new directors to fill in the vacancies and meet the quorum requirement. In so doing at the Extraordinary Shareholders? Meeting No. 2/2560 on 14 February 2017 and the Annual General Shareholders? Meeting on 2 May 2017, Wichai, as Chairman of the Board of Directors and both meetings, arranged for the election by means of cumulative voting* despite knowing that such method was not allowed according to the company's articles of association.

Later, on 26 June 2017, the Department of Business Development, the Ministry of Commerce issued an order rejecting the registration of the change of IFEC directors derived from the cumulative voting because it was a breach of the company's articles of association and in violation of Section 70 of the Public Company Limited Act B.E. 2535 (1992).

By committing the aforesaid act with a wrongdoing intent, Wichai benefited from the results of the election. Such misconduct is therefore liable to dishonest performance of duty, causing the company to suffer damage, or a benefit to be gained for himself or other persons in violation of Section 89/7 and Paragraph 2 of Section 281/2 of the Securities and Exchange Act B.E. 2535 (1992) (SEA). 

The SEC has therefore filed the criminal complaint against Wichai with the ECD for further legal proceedings. As a result, he is deemed to have untrustworthy characteristics of directors and executives of securities issuers and listed companies in accordance with the rules prescribed in the SEC Notification** and consequently is not allowed to hold the positions of director and executive at any securities issuing company or listed company under the SEA.

In addition, the SEC is examining other issues of public and stakeholders? complaints regarding whether the duty performance of current and former IFEC directors and executives is unlawful. If any fact appears that there has been any violation of the SEA, such persons may be liable to legal action that could lead to criminal penalties and civil sanctions.   

In any case, filing a criminal complaint commences the criminal justice administration whereby the consideration whether a defendant is guilty will be proceeded by the inquiry official and the public prosecutor, and the court will judge the case, respectively.

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Note:

* Cumulative voting is the method of voting which specifies that one shareholder shall have votes in a number equal to the number of his shares multiplied by the total number of the directors to be elected to the board. Each shareholder may use all his votes to elect one director or distribute his votes to elect any number of directors as he pleases. Persons who receive the highest votes arranged in order from higher to lower in a number equal to that of the directors to be appointed shall be elected as directors of the company. 

**Clause 3(1) in conjunction with Clause 4(3) and (6) of the Notification of the Securities and Exchange Commission No. Kor Jor. 3/2560 Re: Determination of Untrustworthy Characteristics of Company Directors and Executives date 23 January 2017.

Information contained in this news release is as of the aforementioned release date. For those who wish to see current status of the matter,
please go to compliant filed with inquiry officer