Bangkok, 19 May 2020 – SEC has penalized a former investment consultant named Ms. Napasook Malakam by prohibiting her from performing duties as capital market personnel for 10 years on account of committing wrongful acts against investors’ assets through misappropriation of several clients’ money, causing an initial total damages of 74.8 million baht. At the time of the offense, Napasook was working at Land and Houses Bank Public Company Limited (LH).
According
to the complaints submitted by nine investors and SEC’s further investigation,
it was found that during 13 July 2015 – 13 November 2018 Napasook , an LH securities investment consultant
at the time, was committing wrongful acts against clients’ assets through misappropriation
of their subscription money for mutual fund investment. In so doing, she
fabricated and submitted false documents in order to lure the investors into
believing that their subscription transactions had been executed and recorded when
in fact Napasook did not use the
money to subscribe for the fund units as originally intended by the investors.
Such wrongful acts incurred damages onto several clients, at an initial large
sum of 74.8 million baht.
SEC
has considered that Napasook failed to perform
duties or provide services with loyalty* by committing
wrongful acts against investors’ assets, which was an offense liable to
revocation of approval as investment consultant. However, the approval as
securities investment consultant for Napasook
has already expired since 31 December 2019. SEC has therefore prohibited her
from re-entering as personnel in the capital market business for a period of 10
years, effective from 20 May 2020. In addition, the affected investors have
filed complaints with the inquiry official for a criminal action against Napasook. The case is under consideration in
accordance with criminal justice proceedings.
Investors are strongly advised to study details of funds and verify the existence of the products to be
invested every time and, after making an investment, check the transaction confirmation
evidence that must be issued by the responsible asset management company or the
selling agent bank only. In case of doubts, immediate contact with the
compliance unit is recommended. The full list of the approved mutual funds and
capital market products as well as fund prospectus and reports is available in
Thai via this link: https://market.sec.or.th/public/mrap/MRAPDefault.aspx on
www.sec.or.th. For further information, please call SEC 24-Hour Public Service
Center Hotline at 1207.
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Note:
*
Pursuant to Clause 23(1) and the prohibited characteristics of personnel in the
capital market business under Clause 31(1) of the Notification of the Capital
Market Supervisory Board No. Tor Lor Thor. 8/2557 Re: Rules on Personnel in the
Capital Market Business dated 3 June 2014, as amended by the Notification of
the Capital Market Supervisory Board No. Tor Lor Thor. 48/2560 Re: Rules on
Personnel in the Capital Market Business (No. 7) dated 30 August 2017.