Bangkok, April 22, 2015 - The SEC suspended {A}, a securities investment consultant and a branch manager of CIMB Thai Bank PCL, for signing selling documents of structured notes without giving of investment advice or investor contact. 

Following the complaint lodged by client and examination report of CIMB Thai Bank PCL, the SEC further probed into the case and found that the bank officers who were not investment consultants offered for sale of 5-year structured notes to the client. The client made investment based on the understanding that the bank would redeem the notes after six months as from the investment but the bank did not. Thus, the client lodged a complaint and asked the bank to compensate the whole investment amount. It was found that {A} signed the structured note subscription order, risk assessment, suitability test and checklists for explanation of the structured notes features and information. {A} admitted that he did not contact the client and not give any investment advice.

Signing the structured note offering documents without making contact or giving investment advice to investor which caused the transaction to sell structured notes to be executed as if the investment consultant had performed his duties completely was failure to perform duties with honesty under the Notifications of Capital Market Supervisory Board concerning personnel in the capital market*, the SEC therefore suspended {A} from the duty as the approved securities investment consultant for 4 months, effective from April 23, 2015.  As the suspension was deemed as the 2nd category of prohibited characteristics of personnel in the capital market business, the bank must not allow him to perform the duty of branch manager, in relation to the capital market business.

*Clauses 20(1) of the Notification of Capital Market Supervisory Board No. TorLorThor. 3/2555 re: Approval for Personnel of Business Operators to Perform Duties of Analyzing Investment and Giving Investment Advice dated January 18, 2012 which was the 3rd category prohibited characteristics of personnel in the capital market business under Clause 6(1) of the Notification of Capital Market Supervisory Board No.TorThor/Nor/Khor. 37/2553 re: Prohibitions for Personnel of Business Operators dated September 15, 2010. The actions were in violation of Clauses 23(1) and the 3rd category prohibited characteristics of the personnel in the capital market business under Clause 31(1) of the Notification of Capital Market Supervisory Board No. TorLorThor. 8/2557 re: Regulations for Personnel of Business Operators in the Capital Market dated June 3, 2014 which has been promulgated in replacement of the said two notifications. Besides, as the suspension on approval of investment consultant was the 2nd category of the prohibited characteristics under Clause 30(5) of the Notification No. TorLorThor. 8/2557, during the suspension of the approval of securities investment consultant, the Bank shall not allow such person to